Foreign persons and entities may now purchase flats without seeking permission from the Minister for Internal Affairs, and foreign companies may purchase up to 0.4 ha. of ground in urban areas which has not yet been built on.
The following are of particular interest:
However, foreigners still require permission from the Minister for Internal Affairs to purchase a house or real estate.
- the government now has the power to issue a decree wherein foreigners, under certain conditions, may be able to purchase up to 1.2 ha. of land in an urban area and up to 3 ha. of non-urban land;
- various categories of foreign persons (for example, holders of permanent residence cards or spouses of Polish citizens) may purchase land without permission.
Attention should be paid to the requirement of article 2 paragraph 2, which states that foreigners who have the controlling share of trading companies which are in possession of or which have perpetual usufruct of real estate without permission of the Interior Minister must apply for permission by 4 May 1997. We advise effecting such an application immediately.
It is not clear what will happen to those who either do not apply or who are refused permission, but the consequences could include losing title to the shares (which de facto would be illegally possessed).
Tax laws and practise are constantly being revised and, whilst every effort is made to ensure that the information in this tax newsletter is accurate and timely, no decision should be taken on the basis of the information herein without first consulting with KPMG Polska.
Should you have any questions in relation to the above issues, please contact:
Oliver Sinton KPMG Polska LIM Center - Marriott Hotel - IX floor Al. Jerozolimskie 65/79 00-697 Warsaw, Poland Tel: +48 (22) 630 7236 Fax: +48 (22) 630 6355This information was correct as of 3 July 1996.