Entrepreneur's rights and obligations on the tax card


What is a tax card

Currently, the tax card is the simplest form of business taxation. This form is available only to natural persons conducting business activity, both individually and as part of a civil partnership, of natural persons, but unfortunately not to everyone. The possibility of making settlements on the card is related primarily to the type of business and conditions related, inter alia, to the place of its operation, etc. . This does not mean, however, that these taxpayers have no obligations.

What entrepreneurs do not need on the tax card

Natural persons settling their taxes on the tax card do not have to:

  • keep tax books,
  • submit an annual income statement,
  • make advance payments for income tax.

However, they can:

  • reduce the tax resulting from the decision by the amount of health insurance premiums paid in a given tax year, in the amount of 7.75% of the basis for assessing contributions.

What, then, are these taxpayers obliged to in return for such great facilitation? In addition to paying a predetermined fixed amount of tax, they have a number of obligations with which they must comply and restrictions with which they must comply.

Obligations and restrictions for taxpayers using a tax card

"Kartowicze" are obliged to:

  1. issue bills and invoices at the customer's request confirming the sale of goods or products or the provision of services,
  2. keep copies of documents confirming the sale in the order consistent with the numbering and chronology for a period of 5 tax years, counting from the end of the year in which the bill or invoice was issued
  3. by January 31 of the year following the tax year, submit a PIT-16A declaration on the amount of health insurance premium paid and deducted from the tax card in each month of the tax year,
  4. keep records of employees and individual (name) income cards for each employee, if they employ such,
  5. notify the head of your tax office:
  • on the changes that have occurred in relation to the facts provided in the submitted application for taxation in the form of a tax card
  • on liquidation of the conducted activity.

Limitations related to taxation with a tax card:

  • no possibility of employing employees under contracts of mandate or specific work,
  • employment limits for employees under an employment contract,
  • no possibility of using the services of other companies, apart from specialist services,
  • the spouse cannot carry out activities in the same scope,
  • no possibility of using tax reliefs and deductions.