Selling an Apartment Before 5 Years: When You Really Pay Tax, Housing Relief, and PIT-39 (2026)

"Don't sell your apartment before 5 years, or you'll pay tax" is one of the most frequently repeated statements about Polish taxes and one of the more misleading ones. Selling before 5 years only means that the transaction needs to be reported in PIT. The actual tax can be 0 PLN or a significant amount, depending on the purchase costs, documented renovations, and how you spend the money. We explain how to calculate the 5 years, how the 19% income tax works, housing relief, and the PIT-39 declaration. We separately describe inheritance, donations, divorce, and sales by individuals living abroad.

In Brief

The basis is the Personal Income Tax Act (consolidated text: Dz.U. 2026 poz. 592), primarily Article 10(1)(8), Article 21(1)(131) and (25–30a), and Article 30e. The Ministry of Finance describes these rules on the podatki.gov.pl: sale of real estate page.

When the Sale of Real Estate is Subject to PIT

Paid transfer of real estate outside of business activity is a source of income only when it occurs before the end of 5 years, counting from the end of the calendar year in which the acquisition or construction occurred (Article 10(1)(8)). This applies to:

• real estate, parts of it, and shares in it (apartments, houses, plots, garages with separate land registers),
• cooperative ownership rights to premises and rights to single-family homes in cooperatives,
• perpetual usufruct rights.

After 5 years, the sale is outside of PIT. You do not pay tax and do not submit a declaration, regardless of whether you earned 100,000 or a million.

How to Count 5 Years: From the End of the Year, Not the Purchase Date

This is the most common surprise. It does not matter whether you bought the apartment on January 2 or December 31. In both cases, the countdown starts on December 31 of the same year.

Those who bought at the beginning of the year effectively wait almost 6 years.

Step-by-Step Tax on Sale

The scheme is a simplified guide based on this article. It does not replace the advice of a tax advisor.

Tax: 19% on Income, Not on Price

If you sell before 5 years, the tax is 19% of income (Article 30e(1)). Income is revenue minus costs:

Revenue is the price from the agreement minus the costs of paid transfer, e.g., broker's commission (Article 19(1)).

Costs of obtaining revenue are the documented purchase price along with costs (PCC, notary fee) and expenses that increased the value of the property during ownership. Expenses must be documented with VAT invoices (Article 22(6c) and (6e)). The costs of the purchased property increase annually by the price growth index announced by GUS (Article 22(6f)). After several years of ownership, this effectively reduces the tax. If the property was depreciated, e.g., in business, depreciation deductions increase income (Article 30e(2)).

Example: you bought an apartment for 500,000 PLN, selling it for 600,000 PLN. You calculate tax on income of 100,000 PLN (19% is 19,000 PLN), not on 600,000 PLN. If you have invoices for 40,000 PLN of renovations and paid 10,000 PLN PCC when purchasing, the income drops to about 50,000 PLN, and the tax to about 9,500 PLN. This is all before housing relief.

The rate is linear. There are no thresholds, and it does not matter how much you earn from work, as income from the sale of real estate is not combined with other income (Article 30e(5)).

Loss Means No Tax, But Declaration is Still Required

Example: you bought for 600,000 PLN, selling for 550,000 PLN. You have a loss, so there is no tax. However, if the sale occurred before 5 years, you still must submit PIT-39. Such a loss cannot be deducted from other income (Article 9(3a)).

The Office Can Challenge the Price

If the price significantly deviates from the market value without justified reason, the office will call the parties to change it or explain. If there is no response, it will determine the value with the help of an expert. If the expert's valuation differs from the price by at least 33%, the seller bears the costs of the opinion (Article 19(1) and (4)). An apartment worth 900,000 PLN cannot be safely "sold on paper" for 500,000 PLN without a rational reason, e.g., documented defects.

Housing Relief: A Legal Way to 0 PLN Tax

Income from the sale is exempt in proportion to the revenue spent on own housing needs, starting from the date of sale, no later than 3 years from the end of the tax year in which the sale occurred (Article 21(1)(131)).

Exempt Income = income × (housing expenses ÷ revenue from the sale)

If you spend the entire revenue, the entire income is exempt, and the tax is 0 PLN.

Relief Can Be Partial

This is not an "all or nothing" rule. Example: revenue from the sale is 800,000 PLN, income is 200,000 PLN, and you spent 600,000 PLN on a new apartment. The exempt amount is 200,000 × (600,000 ÷ 800,000) = 150,000 PLN. The taxable amount is 50,000 PLN, so the tax is 9,500 PLN instead of 38,000 PLN.

Deadline: 3 Years from the End of the Year of Sale

Example: a sale on March 15, 2025, means you must spend the money by December 31, 2028, not 3 years from the date of sale. By this deadline, you must also become the owner of the purchased apartment. When buying from a developer, the signing of the deed transferring ownership counts, not just the developer's agreement and payments (Article 21(25a)).

What Counts as Own Housing Needs (Article 21(25))

• purchase of an apartment, house, or share in them, including land associated with the building,
• purchase of cooperative ownership rights to premises,
• purchase of a plot for building a house,
• construction, expansion, or renovation of your own building or residential premises,
• adaptation of your own non-residential building or premises for residential purposes,
• repayment of a loan and interest if the loan was taken out before the date of sale for housing purposes. This also applies to loans on the property being sold (Article 21(30a)).

The property must be located in Poland, another EU country, EEA, or Switzerland, and the loan must come from a bank or credit union based in one of these countries. For expenses outside Poland, a legal basis for exchanging tax information with that country is required (Article 21(27)). Expenses for land, buildings, or works intended for recreational purposes do not count as housing needs (Article 21(28)), e.g., for a summer house. "Own" needs mean that the property must belong to you, not, for example, to a child. Expenses count from the date of sale, up to the amount of revenue.

Equipment: General Interpretation of the Minister of Finance from 2021

In the general interpretation published on October 14, 2021 (Dz. Urz. Ministra Finansów, Funduszy i Polityki Regionalnej poz. 145), the minister indicated that expenses for own housing needs can include the purchase and installation of, among others:

• gas or gas-electric stove or induction hob,
• oven,
• kitchen hood (extraction or recirculation),
• cabinet that is part of the sink installation,
• lighting, including LED strips and halogen spots,
• furniture permanently connected to building elements, including custom-made.

Items not mentioned in the interpretation, such as freestanding appliances, sofas, televisions, or decorations, can easily be challenged as ordinary equipment rather than housing expenses. For larger amounts and uncertainties, consider an individual interpretation.

You Claimed Relief and Did Not Spend the Money? There Will Be a Correction

If you report income as exempt in PIT-39, and within 3 years you do not spend the money according to the regulations, you must submit a correction of the declaration and pay tax with late interest. Interest accrues from the day after the original payment deadline (Article 30e(7)). This is one of the most expensive mistakes.

PIT-39: Who, When, and How to Submit

1. Check if you need to at all

   Sales after 5 years from the end of the acquisition year do not require a declaration. Sales earlier mean mandatory PIT-39, even in case of loss and when the entire income is covered by housing relief.

2. Calculate revenue, costs, and income

   Gather the purchase deed, proof of PCC payment and notary fees, invoices for renovations and expenses, and the agreement with the intermediary. Without invoices for expenses, you cannot deduct them.

3. Decide on housing relief

   The amount you spent or plan to spend on housing needs within the deadline is reported in PIT-39 as exempt income.

4. Submit the declaration from February 15 to April 30

   This refers to the year following the sale (Article 45(1) and (1a)). You can submit PIT-39 electronically in the e-Tax Office (Documents, then Declarations) or through e-Declaration. The Your e-PIT service does not prepare PIT-39: it covers PIT-37, PIT-38, PIT-36, PIT-36L, and PIT-28. You also pay the tax during this period. There are no advances during the year.

5. Keep documents

   The sales deed, invoices, and confirmations of expenses for housing needs will be useful if the office checks the settlement and use of relief.

Spouses: PIT-39 does not provide for joint filing. In the case of joint property, each spouse submits their own declaration and accounts for their half of the revenue, costs, and income.

Special Situations

Inheritance: Most Favorable Rules

Since January 1, 2019, for properties acquired by inheritance, 5 years is counted from the end of the year in which the property was acquired or built by the deceased (Article 10(5)), not from their death.

Example: the father bought an apartment in 2010, died in 2024, and the child sells it in 2025. There is no tax because 5 years passed while the father was still alive. In the case of earlier sales, you can include documented acquisition costs incurred by the deceased and paid inheritance debts and legacies (Article 22(6d)). The division of inheritance up to the amount of the share is neither acquisition nor disposal (Article 10(7)). What you receive beyond your share has separate rules.

More about inheritance itself: Inheritance in Poland: how inheritance proceeds, and about inheritance tax and SD-Z2: Did you inherit an apartment in Poland?

Donation: Less Favorable than Inheritance

In the case of a donation, there is no equivalent of the inheritance rule. 5 years is counted from the end of the year in which the donee received the property. The value from the donation agreement is not a cost, as the acquisition was free of charge. You can deduct your expenses and any inheritance and donation tax paid (Article 22(6d)). In the case of a quick sale of the donated apartment, the taxable basis can therefore be almost the entire price, making housing relief even more significant.

Divorce and Cessation of Joint Property

If you sell a property that the spouses acquired for joint property, and the sale occurs after the cessation of joint property, 5 years is counted from the acquisition to the joint property (Article 10(6)), not from the division of property. Spouses who bought a house in 2015 and divorced in 2024 can therefore sell it without PIT immediately.

Purchase from a Developer: Moment of Acquisition

The moment of acquisition is the notarial deed transferring ownership, not the developer's agreement or payments. The same applies to relief: within 3 years, you must become the owner, not just sign a contract with the developer (Article 21(25a)).

Self-Built House

For a house, completion counts, so 5 years runs from the end of the year in which the construction was completed. If you bought the plot a long time ago and completed the house recently, the situation requires individual analysis.

Selling an Apartment in Poland While Living Abroad

Income from the sale of property located in Poland is considered income earned in Poland (Article 3(2b)(4)), so the same rules apply: 5 years, 19%, and PIT-39. You submit the declaration to the tax office responsible for the taxation of foreign individuals (Article 45(1c)). You can benefit from housing relief regardless of your place of residence, but you must spend the money on your own housing needs in Poland, another EU country, EEA, or Switzerland (Article 21(25) and (27)). Purchasing a house in the USA, Canada, or the UK does not qualify for relief. Also, check the regulations of the country where you live. Individuals from the USA will find details in the guide Selling an Apartment in Poland While Living in the USA.

Common Mistakes

• Counting 5 years from the date of purchase instead of from the end of the calendar year.
• Not submitting PIT-39 in case of loss or relief. The declaration is mandatory, even if the tax is 0 PLN.
• Counting 19% on the entire price. The tax is calculated on income after costs.
• Lack of invoices for renovations. Expenses without VAT invoices will not reduce income.
• Counting 3 years of relief from the date of sale. The deadline runs from the end of the year of sale.
• Developer agreement instead of the deed of ownership in the relief deadline.
• Counting 5 years for a donation from the purchase by the donor. This rule applies only to inheritance.
• Purchasing a house outside the EU, EEA, and Switzerland under the relief. Such an expense does not count.
• Claiming relief "in advance" without a real spending plan. This ends with a correction with interest.
• Undervaluing the price in the deed. The office may determine revenue according to market value with the help of an expert.

Frequently Asked Questions

I sold an apartment after 6 years. Do I need to report it?

No, if 5 years have passed since the end of the acquisition year. Then the sale is outside of PIT, and you do not submit a declaration or pay tax.

I sold at a loss before 5 years. Do I submit PIT-39?

Yes. You always submit a declaration when the sale occurred before 5 years, even in case of loss and when the tax is 0 PLN. Losses from the sale of private real estate cannot be deducted from other income.

Can I use the money to repay the loan for the sold apartment?

Yes. The regulations allow including the repayment of a loan and interest taken for the sold property if the loan was taken out before the date of sale from a bank based in the EU, EEA, or Switzerland (Article 21(25)(2) and (30a)).

I bought an apartment from the primary market. From when is the 5 years counted?

From the end of the year in which you signed the notarial deed transferring ownership, not from the developer's agreement or payments.

I live abroad and sell an apartment in Poland. Do I pay Polish PIT and am I entitled to relief?

The sale of an apartment located in Poland is settled in Poland under the same rules: 5 years, 19%, and PIT-39 at the office responsible for foreign individuals. You are entitled to housing relief only if you spend the money on your own housing needs in Poland, another EU country, EEA, or Switzerland. Purchasing a house in the USA does not provide relief. Also, check the regulations of the country where you live.

Can I buy a summer house with the money from the sale?

No, under the relief. Expenses for recreational purposes are excluded from housing needs (Article 21(28)). PCC on the purchase of another apartment is a separate tax paid by the buyer, described in the guide PCC Tax on the Purchase of Real Estate in Poland.

Sources

Status as of October 23, 2026. This material is for informational purposes only and does not constitute legal or tax advice. Regulations and their interpretations may change. Before a transaction, confirm your situation with a tax advisor or the National Tax Information.