Exemption from income tax are:
a) compensation for damages where the amount claimed or the principle of establishing a direct result of the provisions of separate laws or regulations issued under those laws (Article 21 paragraph. 1 point 3). Regulations and rules fixing the damages are specified in the following normative acts, the Environmental Protection Act (compensation limit how you use the property in connection with the protection of environmental resources - Art. 131-133) Real Estate Management Act (compensation for parcels of land separated public roads of the property, the division was made at the request of the owner, the compensation for the expropriated property-art. 98, art. 106 paragraph 1, Art. 128-135), the Law on Temporary Workers (right to claim damages for breach of rules equal treatment - art. 16) Code of Administrative Procedure Act (compensation vested in the administrative proceedings, has suffered damage as a result of the repeal or amendment - art. 161 § 3); Law Labour Code (including damages for breach of the principle of equal treatment by the employer, compensation for not authorizing the date or edition incorrect employment certificate - Art. 183d, Art. 36 ¹, Art. 47 ¹, Art. 50, Art. 55 § 1 of the, Art. 58-60, Art. 612 § 1, Article . 632 § 2, Art. 99 § 2, Art. 1012 § 3, Art. 119, Art. 201 § 2) of the Civil Code Act.
As stressed by the Supreme Administrative Court in its judgment of 7 November 2003 (file I SA / Łd 1210-1202), any compensation received under the laws of primary legislation (including on the basis of the Labour Code), if not included in the Article directory exclusions. Paragraph 21. 1 point 3. ac Income Tax Act from individuals, is exempt from income tax.
In the remainder of the provision provides for an exception indicating that not all damages or compensation awarded on the basis of the aforementioned Act shall be released. These exceptions will be discussed later.
b) compensation received under the provisions of the recognition of judgments rendered void to persons persecuted for their activity on the sovereignty of the Polish state (Article 21 paragraph. 1, point 3),
c) compensation received under the judgment or court settlement to the amount specified in the judgment or settlement. (Article 21 paragraph. 1, paragraph 3b). Also in this case, the legislator has introduced exceptions to the rule, which are discussed below,
d) compensation in the form of pension received under civil law in the event of injury or harm to health, the victim who has lost fully or partially earning capacity, or if the need for increased or decreased chances of success for the future (Article 21 paragraph. 1, Section 3c),
e) compensation received by the owner of the property on the basis of the geological and mining law (Article 21 paragraph. 1, para. 3d)
f) the amounts received in respect of property and casualty insurance (Article 21 paragraph. 4) - related issues will be described in more detail hereinafter,
g) the compensation received pursuant to a resolution of the United Nations Security Council paid to victims as a result of the war in Kuwait (Article 21 paragraph. 1, paragraph 106),
f) the compensation paid on the basis of court decisions and agreements (settlements), the holders of land belonging to the farm, including: the establishment of easements, land reclamation, damage to crops and stand - as a result of conduct on the land, the entities authorized under separate legislation, the investments related to the construction of technical infrastructure facilities (Article 21 paragraph. 1, paragraph 120).
In addition, exemption from income tax on natural persons are subject to the following benefits:
a) Cash benefits granted under the Act of 31 May 1996 on the provision of funds for persons having deported to forced labor and prisoners in the labor camps of the Third Reich and the Soviet Union (Article 21 paragraph. 1, paragraph 45)
b) interest and amounts of compensation received under the provisions of the Act of 20 December 1996 on the basis of prepayments for cars (Article 21 paragraph. 1, paragraph 52),
c) the amount of monetary compensation received under the provisions of offsetting temporary lack of wages in the public sector and the loss of some increases in or supplements to pensions (Article 21 paragraph. 1, paragraph 53).
