Polish law has no separate "return relief for deportees". The return relief (ulga na powrót, Article 21(1) point 152 of the PIT Act) depends on the conditions in Article 21(43), and deportation is neither a condition for the relief nor a ground for excluding it – a person deported from the USA is entitled to the exemption on the same terms as anyone else who returns, provided they meet these conditions and document their place of residence abroad. Amid concerns about possible deportations of Poles from the USA, more and more people are wondering about the tax consequences of returning to Poland. The return relief is significant support for people coming back to Poland after a long stay abroad, but applying it requires meeting a number of detailed legal conditions.
Deportation from the USA is particularly relevant in the context of Polish tax policy supporting returning emigrants. Tax law allows an exemption from personal income tax, but deportation raises doubts as to whether the required place of residence for tax purposes can be documented. An analysis of the PIT Act (personal income tax) makes it possible to set out in detail the conditions and options for applying this tax preference.
Key principles of the return relief in Poland
The return relief is a significant tax exemption introduced to encourage Poles to return from emigration. Under Article 21(1) point 152 of the PIT Act, it covers the income of a taxpayer who has moved their place of residence to the territory of the Republic of Poland, up to PLN 85,528 in a tax year.
The return relief exempts from income tax revenue of up to PLN 85,528 a year for 4 consecutive tax years. The exemption covers revenue from employment, contracts of mandate (umowa zlecenia), business activity and maternity benefit
The relief covers revenue from several sources. First, it applies to revenue from a service relationship, employment, outwork and cooperative employment. Second, it covers revenue from contracts of mandate referred to in Article 13 point 8 of the PIT Act. Third, it applies to revenue from non-agricultural business activity taxed under Article 27, Article 30c or Article 30ca of the Act or under the Act on flat-rate income tax as flat-rate tax on recorded revenue (ryczałt).
In addition, the relief covers maternity benefit under the Act on cash benefits from social insurance in the event of sickness and maternity. The exemption applies in 4 consecutive tax years, counted from the beginning of the year in which the taxpayer moved their place of residence to Poland, or from the beginning of the following year.
The return relief applies for 4 consecutive tax years counted from the beginning of the year in which the place of residence was moved to Poland. The taxpayer may choose to start using the relief in the year of the move or in the following year
The relief works by fully exempting revenue within a set limit. This means the taxpayer pays no income tax on revenue of up to PLN 85,528 a year for 4 years. If revenue exceeds this limit, the excess is taxed under the rules applicable to the given source (for example the tax scale (12% and 32%), the flat 19% tax (podatek liniowy) or ryczałt). The PLN 85,528 limit is shared with the relief for young people, the relief for families with 4+ children and the relief for working seniors (Article 21(44)).
Detailed conditions of the relief
The conditions set out in Article 21(43) of the PIT Act are crucial for using the relief. These provisions specify who can use the exemption and what requirements they must meet.
The first fundamental condition is that, as a result of moving their place of residence to Poland, the taxpayer must be subject to unlimited tax liability. This means that the person returning to Poland must meet the tax residence criteria set out in Polish tax law.
Unlimited tax liability in Poland arises when the taxpayer has their centre of personal or economic interests in Poland or stays in Poland for more than 183 days in a tax year. This is the basic condition for using the return relief
The second condition concerns not having a place of residence in Poland during a specified period before the return. The taxpayer must not have had a place of residence in Poland during the 3 calendar years immediately preceding the year in which they moved their place of residence to Poland, nor in the period from the beginning of the year of the move to the day before the move.
The third condition concerns citizenship or long-term residence in specified countries. The taxpayer must hold Polish citizenship, the Pole's Card (Karta Polaka) or citizenship of another EU member state, an EEA state or Switzerland. Alternatively, the taxpayer can meet the condition through their place of residence.
Under the place-of-residence condition, the taxpayer must have had their place of residence without interruption for the entire required period without residence in Poland (3 calendar years and part of the year of return) in one of the listed countries, including the United States of America. The list covers EU member states, EEA states, Switzerland, Australia, the Republic of Chile, the State of Israel, Japan, Canada, the United Mexican States, New Zealand, the Republic of Korea, the United Kingdom of Great Britain and Northern Ireland and the United States of America.
An alternative to residence abroad is having had a place of residence in Poland without interruption for at least 5 calendar years before the 3-year period preceding the return. This condition can be met by someone who previously lived in Poland for a long time. A Polish citizen meets the third condition through citizenship alone – but must still document their place of residence abroad (Article 21(43) point 4)
Documenting the place of residence for tax purposes
One of the most important and potentially most problematic conditions of the relief is the requirement to hold a certificate of residence or other evidence documenting the place of residence for tax purposes during the period needed to establish the right to the exemption. This condition is particularly relevant in the context of deportation from the USA.
Under Article 5a point 21 of the PIT Act, a certificate of residence is a certificate of the taxpayer's place of residence for tax purposes issued by the competent tax authority of the taxpayer's country of residence. In the United States, this authority is the Internal Revenue Service (IRS), which issues Form 6166 to US tax residents who have filed the required returns.
The problem arises for people staying in the USA illegally, which is a ground for deportation. Such people often cannot obtain a US certificate of tax residence – especially if they did not file tax returns in the USA. The lack of formal immigration status also makes it harder to gather official documents confirming tax residence.
People staying in the USA illegally often cannot obtain a certificate of tax residence from the US tax authorities. This is the main obstacle to documenting their place of residence for the Polish return relief
However, tax law provides alternative ways of documenting the place of residence. Article 21(43) point 4 of the PIT Act shows that the place of residence for tax purposes can be documented not only with a certificate of residence, but also with "other evidence". This alternative opens up options for deported people.
The key point, however, is that other documents must confirm the place of residence for tax purposes, not merely physical presence in a country. This difference is of fundamental legal importance, because the place of residence for tax purposes is a technical concept defined in tax law.
Place of residence under tax law
The definition of the place of residence for tax purposes is crucial for applying the return relief. Under Article 3(1a) of the PIT Act, a person is deemed to have their place of residence in Poland if they have their centre of personal or economic interests (centre of vital interests) in Poland or stay in Poland for more than 183 days in a tax year.
The place of residence in other countries is determined under their own laws. In the United States, a tax resident is a green card holder or a person who meets the substantial presence test (at least 31 days in the given year and a total of 183 days over three years, counted with weights). Where a person is resident in both countries, the Poland–US double tax treaty of 1974 decides – first by permanent home, then by centre of vital interests.
In Poland, the place of residence for tax purposes is determined by the centre of personal or economic interests or a stay of more than 183 days in a year. The USA has its own criteria (green card or substantial presence test), and in the case of dual residence the double tax treaty decides
The centre of vital interests covers various factors showing a person's actual ties with a given country. These may be family, social, professional, economic and cultural ties and other circumstances showing lasting links with a place. People who have stayed in the USA for a long time, even illegally, may actually have their centre of vital interests there.
The 183-day criterion in a tax year is objective and easier to document. A person who stays in the USA for more than 183 days in a tax year may be treated as a tax resident of that country, regardless of whether their stay is legal under immigration law.
Alternative ways of documenting a stay in the USA
Where a certificate of tax residence cannot be obtained from the US tax authorities, the "other evidence" provided for in the Polish PIT Act becomes crucial. Although tax law does not list such evidence in detail, remember that under Article 180 § 1 of the Tax Ordinance Act (Ordynacja podatkowa), anything that may help clarify the case and is not contrary to law must be admitted as evidence.
This rule means an open catalogue of evidence that can be used to document a place of residence in the USA for tax purposes. The variety of possible evidence allows a flexible approach to documenting the actual stay and ties with the US.
Employment documents are one of the most important categories of evidence. These may be employment contracts with US employers, an employment history covering successive jobs, pay stubs received from US employers and employer certificates confirming the period and nature of employment.
Documents related to employment in the USA are key evidence of the place of residence for tax purposes. Employment contracts, pay stubs and employer certificates can effectively document the stay and the centre of vital interests in America
Housing documents are also important evidence. Foreign lease agreements, utility bills (electricity, gas, water, internet, telephone), documents relating to buying or owning property and correspondence sent to a US address can confirm actual residence in the USA.
Financial documents are another important category of evidence. Statements from US bank accounts, transaction histories, loan documents, insurance policies bought in the USA and other financial documents can point to a centre of economic interests in America.
- Prepare documents related to employment in the USA (contracts, pay stubs)
- Collect housing documents (leases, utility bills)
- Secure financial documents (bank statements, loan documents)
- Prepare foreign tax returns or copies of them
- Gather medical and educational documents from the period of your stay
- Secure travel documents and correspondence sent to your US address
Tax documents, even without a certificate of residence, may have evidential value. Copies of tax returns filed in the USA, documents related to a Social Security Number, documents related to US social benefits and correspondence with the US tax authorities may point to tax obligations and rights in the USA.
Practical aspects of using the relief after deportation
Deportation from the USA to Poland does not automatically rule out the return relief, even if the person does not have a foreign certificate of tax residence. What matters is properly documenting the place of residence in the USA with alternative evidence and meeting the other statutory conditions.
The legislator's aim was to grant the tax benefit to taxpayers who had no place of residence in Poland during the specified 3-year period and can document this. At the same time, the provision expressly requires a place of residence for tax purposes in another country and a certificate of residence or other evidence documenting that place of residence.
Deportation from the USA does not rule out the return relief in Poland. What matters is properly documenting the place of residence in the USA with alternative evidence and meeting the other statutory conditions
In practice, deported people should focus on gathering as many documents as possible confirming their actual place of residence and centre of vital interests in the USA in the period before deportation. Documents covering the full period required by law – at least the 3 calendar years preceding the year of return to Poland – are particularly important.
Claiming the relief requires careful preparation of documents. Deported people should prepare a chronological set of documents covering their whole stay in the USA – the tax authority may require a translation into Polish at the taxpayer's expense (Article 189 § 3 of the Tax Ordinance Act). The documents should be organised by topic and chronologically to make it easier for the tax authorities to verify the conditions of the relief.
| Document category | Examples | Period covered | Evidential value |
|---|---|---|---|
| Employment | Employment contracts, pay stubs | Whole period of stay | Very high |
| Housing | Leases, bills | Whole period of stay | High |
| Finance | Bank statements, loans | At least 3 years | High |
| Tax | Returns, correspondence | Available years | Medium |
It is also important to determine correctly when the place of residence was moved to Poland. In the case of deportation, this will as a rule be the date of actual arrival in Poland as a result of deportation, if from that day the taxpayer's centre of vital interests is in Poland. From that date the periods relevant to the relief start to run and the obligation to settle Polish taxes arises. After returning, it is worth checking other PIT preferences too, such as the thermal modernisation relief when renovating your own home.
How to claim the relief and settle your tax
Using the return relief does not require a separate application to the tax office (urząd skarbowy) – the exemption is applied in tax advances or in the annual tax return. However, the process can be particularly complicated for deported people, who must document their right to the relief with alternative evidence.
During the year, an employee or a contractor under a contract of mandate can give the payer a declaration that they meet the conditions of the exemption, stating the year in which the payer is to start and stop applying it (Article 31a(8) of the PIT Act) – this is not the PIT-2 form, which concerns the tax-reducing amount. Regardless of this, the taxpayer settles the relief in the tax return for the year in which they moved their place of residence to Poland (or for the following year, if they chose that option). In that return you report the revenue earned in Poland and apply the return relief exemption up to PLN 85,528. If revenue exceeds this limit, the excess is taxed under the rules applicable to the given source. This limit is shared with other exemptions, including the PIT exemption for young people.
The tax return applying the return relief must be filed by 30 April of the year following the tax year. In the return you report your revenue and apply the exemption up to PLN 85,528 a year
No documents are attached to the tax return – the taxpayer keeps them and presents them at the tax authority's request. For people deported from the USA, these documents should include all the evidence gathered confirming their place of residence in the USA for tax purposes during the required 3-year period. The authority may order documents in English to be translated into Polish.
The tax authority may ask the taxpayer to provide explanations or additional documents. In that case the taxpayer must respond within the deadline set in the request and present additional evidence or explanations about their tax situation.
Practical example: Mr Kowalski was deported from the USA in March 2024 after a 5-year illegal stay. Although he had no certificate of tax residence, he gathered employment contracts, pay stubs, leases and bank statements covering his whole stay. As a Polish citizen who did not live in Poland in 2021–2023 or up to the day of his return, he can use these documents to document his centre of vital interests in the USA and claim the return relief from his settlement for 2024 (or from 2025).
If you are unsure about your right to the relief, you can apply to the Director of National Tax Information (Dyrektor Krajowej Informacji Skarbowej) for an individual tax ruling (KIS). The ruling does not bind the taxpayer, but protects them if they follow it and the facts described in the application match reality.
Planning your taxes for the following years of the relief is also important. The taxpayer should monitor their revenue to make the most of the exemption limit of PLN 85,528 a year for 4 years. This may require spreading revenue over time or choosing the most suitable forms of employment.
Special situations and exceptions
The return relief rules include a number of special situations and limitations that may apply to people deported from the USA. Knowing these rules is key to applying the exemption correctly and avoiding problems with the tax authorities.
One important limitation is that the taxpayer must not have previously used the return relief, in whole or in part. This condition applies to taxpayers who move their place of residence to Poland again. It means that a person who has already used the return relief cannot use it again after another emigration and return.
The return relief can be used only once in a taxpayer's lifetime. People who have already used this exemption cannot use it again on a later return to Poland
The rules also allow you to choose when to start using the relief. The taxpayer can start from the beginning of the year in which they moved their place of residence to Poland, or from the beginning of the following year. This choice can matter for tax purposes, especially if the move took place during the tax year.
With deportation, which usually happens suddenly and unplanned, the taxpayer may have no control over when their place of residence is moved. Nevertheless, they can choose to start the relief in the following year, which may be beneficial for tax planning and preparing the documents.
The transitional rules on the return relief are also important. Under the applicable rules, the relief applies to taxpayers who moved their place of residence to Poland after 31 December 2021. This means that people deported before that date cannot use the return relief.
- The relief can be used only once in a taxpayer's lifetime
- You can choose the year in which you start using the relief (current or next)
- The place of residence must have been moved after 31 December 2021
- You must document that you had no place of residence in Poland for 3 years
- You must hold documents confirming your place of residence abroad
The rules defining which revenue is covered by the relief are also important. The exemption does not cover all types of revenue, only those expressly listed in the law. Revenue from other sources, such as capital gains, rental income or other sources, is not exempt and is taxed under the rules applicable to the given source.
Tax consequences and financial planning
Using the return relief has significant tax and financial consequences that go beyond the income tax exemption itself. People deported from the USA should take these aspects into account in their financial and tax planning for the coming years.
The main benefit is, of course, the income tax exemption on revenue of up to PLN 85,528 a year for 4 years. If the limit is used in full, total exempt revenue may reach PLN 342,112 over the whole period of the relief. The tax saving is much lower, because the exemption applies to revenue, and without the relief the taxpayer would still deduct costs and contributions and use the tax-reducing amount. For an employee with revenue of PLN 85,528 a year (costs of PLN 3,000, social insurance contributions of 13.71%, the 12% tax scale and the PLN 3,600 tax-reducing amount), the tax without the relief would be about PLN 4,896 a year in 2026, i.e. about PLN 19,584 over 4 years. We prepare annual returns with the return relief for business owners whose sole trader bookkeeping we handle.
Using the return relief in full can save an employee about PLN 19,584 in tax over 4 years (with revenue of PLN 85,528 a year and the 2026 rules). This is significant financial support for people returning to Poland after a long stay abroad
It is also important to consider how the relief affects other parts of the tax and social system. Revenue exempt under the return relief – reduced by contributions – is included in income when determining entitlement to family benefits (Article 3 point 1(c) of the Act on family benefits), so the tax exemption does not improve your chances of such support.
At the same time, the return relief does not exempt you from social insurance obligations. People returning to Poland must pay social insurance contributions, the health insurance contribution and other mandatory contributions on their revenue, regardless of the tax exemption.
Financial planning should also take into account the situation after the relief ends. After 4 years, all revenue will be taxed under the usual rules, which may mean a significant increase in the tax burden. People using the relief should prepare for this change by planning their careers and personal finances accordingly.
For an employee returning from the USA and earning PLN 85,528 a year for 4 years, the tax saving will be about PLN 19,584. After the relief ends, with the same revenue, the annual tax will be about PLN 4,896 (under the 2026 rules), which means a noticeable increase in the tax burden.
Settling US taxes properly is also important. People who had tax obligations in the USA should settle them with the US tax authorities – this is not a condition of the Polish return relief, but returns filed in the USA can serve as evidence of the place of residence.
