Menu
Expat.com

British pension for retiree living in Poland

Last activity 28 April 2014 by scottishpoet

Post new topic

Polterry

I am a retired British expatiate who is considering permanent retirement in Poland. A Polish tax advisor has informed I will not have to pay tax on my UK pension. Apparently this is part of EU law. I find this a bit unbelievable as my pension is considerably in excess of the individual tax free allowance in Poland. My pension is my only income that is not taxed at source and I would lose about 40% of it if taxed at Polish income tax rates.

Does anybody have experience / knows about this?

anianoire

I am not 100% sure but it seems true to me that as long as you have exclusively foreign source of income you can freely choose whether you want to have it taxed here in Poland or in the country which is the source of your income. It's based on EU agreements. I was in a similar situation (with exclusively Dutch income) at some point. Just remember that once you earn even a single penny here in PL the situation will change and complicate.
Bests
Anna

anianoire

And you cannot have your income completely not taxed. It must be submitted in a tax declaration somewhere - either in PL or UK. If your British law allows it to be free of tax (for some reason that I do not know) it is ok. But it must be declared somewhere (just check where the regulations are more beneficial for you).

scottishpoet

I suspect its a bit like my UK rental income

I have to declare it on my Polish tax return but am not taxed specifically on that income as I choose to be taxed on it in the UK

As I am within my personal allowance on UK income it is taxed at 0% in the UK

As I am learning, what you do need to watch is if you get any taxable income in Poland then your pension will be included as income to decide what tax rate you need to pay on your Polish income

Articles to help you in your expat project in Poland

  • Tax in Poland
    Tax in Poland

    Find, in this article, all that you need to know on the Polish tax system and discover how to settle your tax ...

  • Phones and Internet in Poland
    Phones and Internet in Poland

    Find, in this article, an overview of the Polish telecommunications market and some tips to help you get ...

  • Traveling to Poland with your pet
    Traveling to Poland with your pet

    Moving to Poland with your pet? Find out about the requirements you will need to meet when entering the country ...

  • Work in Wroclaw
    Work in Wroclaw

    Looking for a job in Wroclaw? Learn more about the city and get some useful job hunting tips in this article.

  • Accommodation in Poland
    Accommodation in Poland

    When planning a long stay in Poland, finding accommodation will be one of your main priorities. Here's a brief ...

  • Driving in Poland
    Driving in Poland

    Are expats allowed to drive in Poland? Can they use their international driver's license? Find out in this ...

  • Healthcare in Poland
    Healthcare in Poland

    Are expatriates eligible for free healthcare in Poland? What are the relating conditions and formalities? Find out ...

  • Internship in Poland
    Internship in Poland

    Looking for an internship in Poland? Find out how and where to look for opportunities, learn about visa ...

All of Poland's guide articles