In brief

• Family foundations were meant to facilitate the succession of family businesses and ensure continuity of ownership.
• Almost three and a half years after the law came into force, the debate focuses mainly on taxes.
• The functional problems of family foundations still have not been resolved.

The purpose of the law and its being forgotten

The family foundation was meant to respond to one of the most important challenges of the Polish economy: passing family enterprises on to subsequent generations. Its role was to keep ownership in one set of hands, protect assets, and preserve the stability of companies that for decades built their position. Legal adviser Piotr Aleksiejuk recalls this goal in an article published on Prawo.pl.

Taxes instead of functioning

Almost three and a half years after the law came into force, the discussion about family foundations concentrates primarily on taxes. Meanwhile, the problems that genuinely hinder the operation of these institutions still await a solution. Aleksiejuk calls on the state to look at family foundations more broadly than from the perspective of the next amendment.

What this means for businesses

For entrepreneurs, this means that when planning succession, a family foundation is not yet a fully predictable solution. Before a family business decides on this form, it is worth checking which functional issues remain unresolved and how they affect the owner's specific situation.

Read also

• Fundacje rodzinne: nowelizacja czeka na podpis prezydenta. Podatek od wypłat ma wzrosnąć z 15 do 19 proc.