New verdict by the Supreme Administrative Court on gratuitous benefits for employed foreigners
In accordance with the SAC’s judgment of 27 September 2022 (ref. II FSK 49/20), covering by the company the costs of accommodation for a foreigner employed under a contract of mandate constitutes additional revenue for that person under the contract of mandate, which is subject to taxation and social security contributions. At the same time, the SAC ruled that covering costs related to legalisation of employment of a foreigner and legalisation of his/her stay in Poland does not constitute income for that person.
This is another ruling that confirms that providing free accommodation to employees/contractors constitutes additional remuneration for them, which is subject to taxation and ZUS contributions in Poland.