In Brief

• From 2027, the maximum property tax rates may increase, with specific amounts determined by municipal councils.
• The tax covers land, buildings, and structures, and in some cases, the obligation may pass to a permanent manager or tenant.
• The tax on structures is up to 2% of their value, and taxes on fences and gates are paid when they are related to business activities.

Who Pays Property Tax

Property tax is a levy collected by municipalities, affecting land, buildings, and structures. The obligation primarily falls on owners, although they are not always the sole taxpayers. If the property has been transferred to permanent management, lease, tenancy, or loan, the permanent manager may be required to pay and submit a declaration. The Provincial Administrative Court has ruled that the decision to establish permanent management, which involves taking possession of the property, transfers the tax obligation to the permanent possessor (Does a sports center pay property tax on properties it uses under permanent management? – ksiegowosc-budzetowa.infor.pl).

In practice, it can also happen that one person owns the land, while another owns the structure or building on it. The issue of who is responsible for paying the tax on a structure on someone else's land has been a topic of dispute for years. The Supreme Administrative Court ruled on September 25, 2019, that the tax on such a structure is paid by the landowner (Property tax on a building or structure on someone else's land - who is the taxpayer – ksiegowosc.infor.pl). However, municipalities have applied different approaches, so it is worth checking local practices in specific cases.

New Rates from 2027

The Ministry of Finance and Economy has published new limits, but it is the municipal council that decides whether to introduce a higher rate or keep the current one. The tax amount cannot exceed the maximum rate set for that year.

Some municipalities have already adopted resolutions to raise the tax from January 1, 2027. Some cities have applied the maximum allowable rates, while in others, proposed increases did not receive support from council members (Property tax will increase from January. In these cities, increases are already certain – biznes.wprost.pl). Entrepreneurs will feel this the most, as rates for areas used for business activities are significantly higher than for residential properties. For a typical residential unit, the increase will usually be just a few zlotys per year.

Tax on Fences and Gates

Not every owner knows that tax is also payable on fences and entrance gates. This applies to structures related to conducting business activities. According to regulations in force since 2025, fences and gates are considered structures, and these rules did not change in 2026 (2% tax on fences and gates in 2026 and 2027. But not everyone has to pay. What does it depend on? How to calculate the value of the structure for property tax purposes? – ksiegowosc.infor.pl).

The tax on structures is up to 2% of their value. The basis for calculations is the value of the structure, not the rate per square meter, so determining it requires establishing the initial value of the object. However, not every company or individual has to pay this tax. It depends on whether the structure is related to business activities and whether it meets the conditions specified in the regulations.

How to Check What the Tax Will Be

To determine the amount, one must know the rate applicable in the given municipality, the area of the property, and its intended use. Separate rates apply for land, residential buildings, and business activities. The owner should also know whether they are the sole taxpayer or if the obligation passes to a permanent manager.

Municipal tax resolutions are published in their public information bulletins. It is worth checking them before submitting a declaration, as the rates vary depending on the city and municipality.

Frequently Asked Questions

Who pays property tax if they are not the owner?

The obligation may pass to the permanent manager, tenant, lessee, or user based on a loan, according to administrative court rulings.

Who pays tax on a structure standing on someone else's land?

The Supreme Administrative Court ruled in 2019 that the tax is paid by the landowner, although municipalities apply different approaches in practice.

Is tax payable on a fence?

Fences and entrance gates are considered structures under the regulations, but the tax applies to them only when they are related to conducting business activities.