PIT/ZG — when it is required and how kloPIT handles it
PIT/ZG is the country-by-country attachment for foreign-source income and foreign tax paid. For most retail investors it applies to dividends, while ordinary capital gains usually remain only in PIT-38.
What is PIT/ZG?
PIT/ZG supplements PIT-38 when you need to show foreign-source income and foreign tax paid by country. The legal basis is art. 45 sec. 1a of the PIT Act and the Ministry of Finance form instructions.
Dividends usually go to PIT/ZG
Foreign dividends are classic PIT/ZG income. Under art. 17 sec. 1 PIT and OECD art. 10, the source country is the issuer's country of residence, and withholding tax can be credited in Poland only up to the treaty cap.
Capital gains usually do not
Ordinary gains from selling shares are usually taxed only in the country of residence under art. 30b PIT and OECD art. 13(5). Poland taxes them in one pooled bucket, so there is normally no per-country split for PIT/ZG.
Why a foreign broker is not enough
A foreign broker, foreign exchange, or foreign trading currency does not by itself create foreign-source capital gains for PIT/ZG. Treaty allocation matters, not where the account is held.
When capital gains can require PIT/ZG
- Real-estate company clauses under OECD art. 13(4).
- Permanent establishment cases under OECD art. 13(2).
- Treaties with significant-shareholding clauses.
- Countries without an applicable treaty or with special domestic rules.
Foreign tax credit on gains
Foreign tax credit on capital gains matters only when foreign tax actually exists. The income still belongs in your Polish annual return, but PIT/ZG is relevant only if treaty or domestic rules allocate taxing rights abroad.
The include-all toggle
kloPIT defaults to the common retail-investor case: only countries with foreign tax withheld generate PIT/ZG entries. Enable the toggle if you know your capital gains fall into an exception and you want every country included.
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