We know from experience that official matters raise many questions. It is no different when it comes to tax refunds from abroad and working with our office. Over the years, we have heard many questions – here we have decided to answer the ones that have been asked most often. We hope that the following text will be helpful and clear up any uncertainties!
Who can claim a tax refund from abroad?
The prerequisite to count on a refund is, first of all, a legal form of employment. Furthermore, an overpayment is due if advance income tax payments have been deducted from the employee’s salary. In addition, employees who benefit from tax allowances and deductions may also apply for a tax refund from abroad.
However, it is worth being aware that each country has its own tax system and different accounting rules, hence the above information should be treated in very general terms.
Do I need to prepare special documents to apply for a tax refund?
Just as in the case of settling with the Polish tax authorities, foreign authorities also require the appropriate file of documents. In order to be able to file a declaration and count on a tax refund from abroad, you will need to prepare your annual tax card or the pay slips you receive from your employer at the end of the tax year.
These are the basic documents needed for the tax return – you should be aware that the tax offices may also require other, additional forms. Detailed information on which documents you need to prepare can be found on individual pages:
| Country | Documents required for settlement |
| Austria | Lohnzettel (L16) or pay slips |
| Belgium | Loonfiche 281.10, Loonbrief or Individuele Rekening |
| Czech Republic | POTVRZENI |
| The Netherlands | Jaaropgave (Jarograf) or Salaris (pay slips) |
| Germany | Lohnsteuerbescheinigung or Abrechnung |
| Sweden | KU-10 / KU-13 or KU-14 for social benefits |
- tax return from Austria,
- tax refund from Belgium,
- tax return from the Czech Republic,
- tax return from the Netherlands,
- tax return from Germany,
- tax return from Sweden.
What should you do if you do not have documents from your employer?
Many clients wonder whether they can still claim a tax refund when the employer has not provided the documents needed for the return.
It is worth knowing that this is not a big problem – if you have not received your tax card or pay slips from your employer, please inform our consultant, who will try to obtain the documents for you. The average time to obtain documents for a settlement is 3 weeks, and this applies to Belgium, the Netherlands and Germany.
How long is the wait for a tax refund from abroad?
This depends on the country in which you have worked. The average waiting time for a tax overpayment is between 3 and 6 months after the tax return has been delivered to the Tax Office.
Czas ten może wydłużyć się również w przypadku konieczności naniesienia poprawek (korekta zeznania podatkowego) czy też dosłania dodatkowych dokumentów.
By entrusting your tax affairs to our specialists, each client can count on the correct filing of the return, which can speed up the tax return. What’s more, we are in constant contact with officials, so we have an up-to-date overview of your situation.
How much can a foreign tax return amount to?
It also depends. Factors determining the amount of return include:
- amount of income,
- period of employment,
- tax residence status,
- the possibility of taking advantage of tax concessions,
- tax class,
- the amount of advance payments made by the employer,
- fiscal year.
Is accounting abroad compulsory for everyone?
This depends on the tax law in the country in question, as well as on whether you belong to a specific tax class in the case of Germany. In most cases, it is mandatory to settle accounts with the authorities – irrespective of the period of employment or the amount of income earned.
Even if a tax return is not compulsory, it is still worth taking an interest in the subject – very often tax refunds are very beneficial for people who voluntarily submit a tax return to the tax office
Is it possible to recover the tax in full?
Yes, provided that earnings have not exceeded the tax-free amount or tax credits allow.
Where is the tax refund transferred?
You can expect to receive the funds from the tax overpayment in the bank account you have indicated – yours or that of a trusted person. In the case of the Netherlands, the transfer is only possible to the taxpayer’s account.
What are the penalties for failing to account to a foreign authority?
In most cases, an administrative fine can be imposed. Depending on the country, the rates may vary – but sometimes the amounts amount to several hundred or even several thousand euros, which is why it is a good idea to settle all obligations on time.
Ile lat podatkowych wstecz można rozliczyć?
- Poland allows settlement up to six years back.
- Austria and the Netherlands allow settlement up to five years back.
- Germany allows settlement up to four years back.
- Belgium and the Czech Republic allow settlement up to three years back.
Being able to settle 3, 4, 5 or even 6 years back does not mean that we can settle, for example, once every 4 or 5 years. It only means that a tax return from Germany sent e.g. 4 years after the income is received will be accepted by the foreign tax office. In the case of late settlement, the foreign tax office may charge a penalty of € 300 and more.