Does my credit card reimbursement constitute taxable income?


Banks tempt entrepreneurs with various promotions, thanks to which the offers presented are very competitive. He became popular, among others credit card reimbursement. The entrepreneur can gain up to 5% of the amount spent, with some upper limit. This return is taxable income.

Taxation of income earned on the reimbursement of credit card expenses

This type of offer is beneficial for every credit card holder, as it gives the possibility of obtaining an additional pool of money in exchange for making payments with the card. The expenses paid for the entrepreneur have to bear anyway, so the bonus in the form of a refund seems to be pure profit.

At this point, however, it should be remembered that the income received should be taxed with income tax. The entrepreneur should receive PIT-8c from the bank.

Different interpretations of the taxation of credit card reimbursement

One can meet with statements that the income earned should not be subject to taxation if its value does not exceed PLN 760 per year, because it concerns a premium sale. In art. 21 sec. 1 point 68 of the PIT Act, there is a provision that awards related to bonus sales up to the above-mentioned amount are free from income tax. However, in the same point it was specified that the tax exemption of awards related to bonus sales does not apply to awards received by the taxpayer in connection with his non-agricultural business activity, constituting income from this activity.

However, the Ministry of Finance is of the opinion that the reimbursement of card expenses does not constitute a bonus related to bonus sales, which is subject to exemption. Thus, the received income must be taxed indisputably.