A revolution for those who want to earn money on their own business. High income limit without compulsory social security contributions. Check
Entrepreneurs want to replace the obligation to pay ZUS contributions for their business activity with voluntary ones. They submitted a draft to the Sejm on the eve of the end of 2022. Meanwhile, regardless of this, the government is planning a different solution that will practically allow people with small and medium incomes not to pay contributions from their own business. This is good news for those earning income from their own business on a small scale: in 2023, the limit of income that can be obtained in this way without the need to register a business may double. Conducting unregistered activity is beneficial for the taxpayer, because then he does not incur operating costs and does not have to pay social security contributions. In 2022, the revenue limit is PLN 1,505.
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Pursuant to the Entrepreneurs’ Law Act, a taxpayer does not have to register his business if his monthly revenue does not exceed 50% of his gross income. minimum wage. There is a chance that this limit will be increased to the full amount of the lowest salary next year.
– Conducting unregistered activity is beneficial for the taxpayer, because then he does not incur operating costs and does not have to pay social security contributions. In 2022, the revenue limit is PLN 1,505 – explains Piotr Juszczyk, Chief Tax Advisor at inFakt.
At the end of 2022, a draft amendment to the laws was published in order to eliminate unnecessary administrative and legal barriers. It assumes that the income limit for unregistered activities would be the equivalent of the minimum wage.
For those running a small-scale business, it can be a real treat and freeing themselves from high mandatory social security contributions – opportunity!
Next year, the minimum wage is to increase to PLN 3,490 from January 1 and to PLN 3,600 from July 1. This means that entrepreneurs who, for example, would start their business in July, would not have to register it, as long as their revenues do not exceed PLN 3,600.
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