New forms for WHT remitters from January 1, 2025

In 2025, WHT taxpayers will face some changes – among them, we will find new versions of the IFT-2R and CIT-10Z forms, concerning the foreign income of taxpayers earned from January 1, 2024. Comparing the new structure of the forms with the previous version will certainly make it easier to complete them, especially since many entities will have to do it so soon.

Recall, that the CIT-10Z is a consolidated declaration on the withheld withholding tax, submitted by the end of the first month of the year following the tax year. On the other hand, IFT-2R and IFT-2 are information forms submitted to the tax office and the withholding tax payers by the end of the third month following the end of the tax remitter’s year. For entities whose tax year aligns with the calendar year, these deadlines will fall at the end of January and the end of March, respectively.

New IFT-2R form

The IFT-2R (11) form will consist of 9 pages, which makes it more than twice as long as the form from previous years. Why is that? The main difference lies in the addition of a supplementary section “D,” i.e., information regarding the types of income and the amount of flat-rate tax withheld.

Previously, it was necessary to fill in section “D” with values corresponding to the amount of exempt income and taxable income, and include information about the tax amount withheld along with its rate.

The new form also contains the same section “D”, but its content will need to be clarified in the subsequent part, where separate sections for each type of income are specified. The “initial” table in section “D” will no longer include information about the tax rate, which the tax remitter will define in the supplementary section.

Example of completing the form

For example: Tax remitter reports interest income of 100 for a taxpayer and based on the appropriate DTA, the tax rate is 5%. In the previous declaration, the tax remitter would have reported values in section D (exactly in point D.4) as follows: 0 (exempt amount), 100 (taxable amount), 5 (tax rate %), 5 (tax withheld amount).

In the new form, regarding the interest paid in the amount resulting from the DTA, the remitter in section D will report the following values: 0 (exempt amount), 100 (taxable amount), and 5 (tax withheld amount). Only in the supplementary part (in this case “H”) will the remitter complete data regarding the tax rate.

The new form requires the reporting of the tax withheld related to the pay&refund mechanism (based on Article 26(2e) of the CIT Act).

The tax remitter will also need to indicate whether the taxpayer is a related entity.

New CIT-10Z form

The new CIT-10Z form, unlike the IFT-2R, has not changed to such a large extent. The most important modification is the obligation to report the amount of tax withheld when applying the pay&refund mechanism and to specify the number of taxpayers for whom this mechanism was applied.

When filling out the form online, the new CIT-10Z automatically selects “Lubelski Urząd Skarbowy w Lublinie” as the appropriate tax office (Tax remitters previously had to select the office manually).

To avoid errors in the process of preparing and submitting forms, it is advisable to familiarize yourself with the new templates in advance.

If you need assistance in filling out the IFT-2R or CIT-10Z forms or have questions regarding the new versions, please feel free to contact us.