A company mobile phone in Poland: purchase, bills and VAT

A Polish sp. z o.o. can account for a phone needed for its business, but the device purchase, subscription and VAT require separate decisions. Under ordinary CIT, a phone with an initial value up to PLN 10,000 may be deducted in the month it enters use. VAT deduction depends on its use for taxable sales. Private use by an employee or shareholder needs additional assessment.

Legal position checked on 13 November 2026. This guide covers a Polish limited liability company under ordinary CIT. Do not automatically apply it to a sole trader or a company using Estonian CIT.

Who buys the phone: the company or its owner?

Start with the purchaser’s identity, rather than the payment method. If the company buys the phone, the order and invoice should identify the company, including its name, address and NIP tax number. Record who will receive the device and what work it supports, such as customer calls, order handling, banking access or recording completed services.

A shareholder is a separate person from the company. A privately purchased phone does not become company property simply because its owner later uses it at the office. Selling, renting or lending a device to the company are different transactions, with different documentation and potential tax consequences. A transaction involving a management board member also requires the correct company representation.

How do you separate the device from the subscription?

One payment to a mobile operator can cover several different items. Obtain documents that distinguish the phone’s purchase price, telecommunications services and extra charges. An instalment towards the device price does not become another subscription expense merely because both appear on the same statement.

Even with a fixed subscription, do not assume every invoice line serves the business. Extra services, app purchases or roaming during a private holiday may need exclusion or separate treatment. Agree the rules before handing the phone to an employee.

When is the phone purchase deductible for CIT?

Article 15(1) of the CIT Act connects deductible costs with earning revenue or preserving or securing its source, subject to statutory exclusions. An invoice proves a purchase, but does not explain its purpose by itself.

A short business description provides a useful starting point: “phone for the person handling customer support” is more informative than “electronics”. If the same person receives another device, record the reason, such as keeping an on-call number separate. Do not invent a business justification for a private purchase.

For a device expected to remain in use for more than one year, consider the fixed asset rules. Article 16d(1) allows an asset with an initial value up to PLN 10,000 to be expensed in the month it is put into use instead of depreciated. Above that threshold, assess depreciation, including any available one-off allowances. The Polish depreciation guide explains the methods in detail.

Do not artificially divide one complete device into invoice lines to stay below the threshold. The relevant amount is the asset’s actual initial value, rather than the number of lines on the invoice.

Is the PLN 10,000 threshold net or gross?

The threshold applies to initial value under Article 16g of the CIT Act. For a purchase, this includes the acquisition price and relevant costs incurred before the device enters use. Deductible VAT reduces that value; VAT which cannot be deducted remains part of it.

For example, a phone costs PLN 9,800 net plus PLN 2,254 VAT, making PLN 12,054 gross. A company entitled to deduct all VAT, with no other acquisition costs, compares PLN 9,800 with the threshold. A company with no VAT deduction compares PLN 12,054. The same phone can therefore require different treatment in two businesses.

This illustrates the calculation, rather than justifying every purchase below the threshold. Nor does an immediate tax deduction necessarily mean identical treatment in the accounting records. The accounting policy and the tax treatment need separate checks.

How much VAT can you deduct?

Article 86 of the VAT Act links input VAT deduction to purchases used for taxable activities. Check the company’s VAT status, the nature of its sales, the invoice and when the right to deduct arises. A deduction is not the same as an immediate cash refund to the bank account.

Phones do not have a universal 50% limit of the kind that applies to certain passenger car expenses. There is also no automatically accepted “80% business use” percentage for every company. Exempt sales, mixed activities and private use require assessment of the facts, including any obligations relating to free private use.

Example: a phone used exclusively for taxable business activity costs PLN 3,690 gross: PLN 3,000 net and PLN 690 VAT. Assuming full entitlement, the company deducts PLN 690 input VAT. The PLN 3,000 purchase may be a deductible cost under the CIT rules. If it reduces income taxed at 9%, the CIT effect is PLN 270. This is not reimbursement of the phone’s price: the company still incurs the expense, and all the assumptions must hold.

What should you do about private use?

Decide whether the phone is exclusively a work tool or whether the company also permits personal use. The policy should explain the permitted scope, extra charges, return of the device and reporting a loss. A written prohibition alone cannot substitute for how the phone is actually used.

Do not treat every user identically. An employee, a board member acting under an appointment and a shareholder privately using company property may require different treatment. Ask the accountant to establish whether there is a benefit for the individual, an income tax or VAT obligation, or an expense unrelated to the business. A company invoice does not automatically resolve those questions.

Practical controls include a separate business number, assigning each device to a named user and identifying private charges. Collect the information necessary for accounting without unnecessarily copying the content of an employee’s private communications.

Which documents should go to the accountant?

At purchase, record the invoice number, device model and serial number, user, purpose, date placed in use and financing arrangement. Include the handover record and usage rules. Where the invoice is in KSeF, retain its identifier and connect it to the purchase. A KSeF number does not establish the business purpose of an expense.

Each month, compare the operator’s invoice with the contract. Explain increased charges, check the service period and distinguish device repayments from current services. A bank transfer proves payment but does not replace the information needed to book the transaction correctly.

When replacing a phone, record what happens to the old device: continued use, sale, return or disposal. Giving it to a shareholder for free is not simply that person taking back their own property. Check the tax consequences before transfer and remove access to company accounts under the internal procedure.

How can a small company manage its phones?

Assign responsibility for approving purchases, handing over devices and reviewing monthly bills. In a small company, one person may perform several roles, but ownership of each step should be clear. A single device register helps locate the invoice, user and accounting decision without searching through messages.

Quarterly, review active numbers and devices assigned to people who have stopped working with the company. This is a practical cost control, not an additional statutory deadline. Include the other running costs of a Polish company when planning the overall budget.

The Norman accounting page for Polish limited companies describes the available solution. Correct phone accounting still needs your information about the user, purpose and any private charges.