Opening a JDG in Poland as a foreigner without overpaying

You can open a JDG in Poland online in a single evening — and that's exactly why many people do it in a rush. Then it turns out that the chosen tax form is unfavorable, the activity codes are wrong, and ZUS charges more than it could.

A JDG (jednoosobowa działalność gospodarcza, sole proprietorship) is the simplest form of business in Poland. Registration in CEIDG is free. But first — the main question.

Can you open a JDG at all

Not every foreigner has the right to run a JDG — it depends on the basis of your stay. Among those who can run a JDG on the same terms as Polish citizens are:

• holders of permanent residence and an EU long-term resident card;
• holders of certain types of temporary residence;
• Ukrainian citizens with a CUKR card or UKR status.

Important: if your JDG becomes the basis for your residence card, every business decision also affects your legalization. Here the accountant and the legalization specialist need to work together.

4 decisions to make before registering

1. PKD codes — what exactly you do.
2. Form of taxation — the tax scale, flat-rate tax or ryczałt. It determines how much you actually pay.
3. VAT — whether you need it from day one or not.
4. ZUS — whether you can use the relief for new business owners.

Tip from PhinanceX accountants: don't choose your tax form “the same as a friend's”. The same income under different forms of taxation can differ by several thousand złoty a year.

What it costs with us

• Opening a JDG — free if you keep your accounting with PhinanceX;
• without accounting — 400 zł;
• JDG accounting — from 300 zł per month.

A mistake in the form of taxation or the PKD codes can cost more than a year of accounting. So the cheapest option is to do it right from day one.