A Polish family with two children – one in university and the other in secondary school – can lose their entire child benefit allowance simply by exceeding a single income threshold, according to a recent interpretation by the Polish tax authority. The ruling, issued by the Director of the National Fiscal Information (KIS), demonstrates a rigid application of tax law that effectively penalizes families for earning above a certain level, even while actively supporting and maintaining their children.
Parents often assume that having two children shields them from income limits related to the child benefit. However, an individual interpretation from the Director of KIS, dated , case number 0112-KDSL1-2.4011.558.2025.2.JN, reveals a far more stringent reality. The tax authority denies the allowance not only for a full-time student but also for a younger, dependent child, even when parents demonstrably provide for both. The case concerns a joint tax return (PIT-37) for previous years.
Two Children, University, Secondary School, and Joint Tax Return – The Case
The taxpayer detailed her family and tax situation in a request for interpretation. The case centered on the child benefit claimed jointly with her spouse on their 2021 and 2024 PIT-37 returns. The couple has two daughters. The elder daughter, born in , began full-time university studies after completing secondary school, living away from home. She supplemented her studies with part-time work, primarily during vacation periods. Her income, while exceeding statutory limits, was insufficient for self-sufficiency, and she remained financially dependent on her parents, who continued to meet her maintenance obligations.
The younger daughter, born in , is a secondary school student and a minor. Her parents exercise full parental authority, providing for all her needs – basic necessities, education, healthcare, and emotional well-being. However, the crucial factor was income. In both 2021 and 2024, the couple’s combined income exceeded 112,000 złoty. This triggered a cascade of tax consequences.
Loss of Benefit for One Child Triggers Loss for Both – The Moment of Collision with the Tax Authority
The taxpayer acknowledged losing the child benefit for her adult daughter due to exceeding the income limit. The surprise came when she discovered that losing the benefit for one child resulted in losing it for the younger, minor child, due to exceeding the 112,000 złoty income threshold.
In her request, the taxpayer referenced the commonly held belief that having more than one child exempts parents from income limits. She sought clarification on whether, despite actively raising two children and fulfilling all parental obligations, she would lose the entire benefit.
The Director of the National Fiscal Information left no room for doubt. The ruling stated: “I find that your position regarding the tax effects of the described factual situation in personal income tax is incorrect.” The tax authority then meticulously analyzed the provisions of the personal income tax act, addressing nearly every element of the taxpayer’s situation. KIS did not question the fact of raising children, exercising parental authority, or the obligation to provide maintenance for the adult daughter. The decisive factor was solely the income limits.
Adult Child and Unyielding Income Limit – Even Maintenance Payments Don’t Help
Regarding the adult daughter, the tax authority reiterated that the child benefit is only available for full-time students up to the age of 25 if they do not exceed the statutory income limit. In 2021, this limit was 3,089 złoty, and in 2024, it was 21,371.52 złoty. The authority stated: “Due to your daughter earning income exceeding 3,089 złoty in 2021 and exceeding twelve times the social pension amount in 2024, one of the conditions for using the child benefit was not met.”
The tax authority emphasized that maintaining the daughter, fulfilling maintenance obligations, and incurring the costs of her studies were irrelevant if the income threshold was exceeded. The interpretation included a passage that may be particularly concerning for many parents: “Even maintaining your adult daughter, due to the obligation to provide maintenance, is not sufficient to deduct the child benefit.”
One Detail Changes Everything: The Number of Children Entitled to the Benefit, Not the Number of Children in the Family
The most troubling part of the interpretation concerns the younger child – the minor secondary school student. In this case, the taxpayer met all material and formal requirements: exercising parental authority, providing actual care, the child having no income, not being placed in full-time care, and not being married. Despite this, the tax authority denied the benefit for this child as well. The interpretation stated: “We see irrelevant for the purposes of using the child benefit deductions whether you have two children, because the important thing is the number of children for whom the benefit is due.”
This is where a mechanism remains unclear for many parents. If the benefit is not available for one child – because their income limit was exceeded – then, according to the regulations, the taxpayer is treated as having only one child eligible for the benefit. This automatically triggers the 112,000 złoty income limit for parents.
The Director of KIS left no doubt that if the benefit is available for only one child, the income limit for parents applies in full. In this case, the couple exceeded this threshold in both 2021 and 2024, definitively eliminating the possibility of a benefit for the second child. The tax authority stated: “A limitation on applying the benefit for a minor child is the income limit referred to in Art. 27f para. 2 point 1 lit. A of the Act on Personal Income Tax” and further: “the negative condition preventing the deduction of the child benefit for the second (minor) child has occurred.”
The Tax Authority Leaves No Room for Doubt Regarding the Tax Consequences. The Child Benefit Does Not Apply.
At the end of the interpretation, the Director of the National Fiscal Information concludes unequivocally: “you do not have the possibility of deducting the child benefit for either the adult child or the minor child for 2021 and 2024.”
This demonstrates the far-reaching consequences of exceeding a single income limit, even in a family that undeniably raises two children and bears the real costs of their upkeep. The tax authority, in this interpretation, leaves no room for flexibility, discretion, or assessment of the life situation – only the regulations and numbers matter.
FAQ – Frequently Asked Questions
Does the income limit for parents apply with two children for the child benefit?
Not always. The income limit for parents (112,000 złoty annually for jointly filing spouses) applies when the benefit is available for only one child. If the benefit is available for at least two children, the income limit for parents generally does not apply.
Does the number of children in the family or the number of children eligible for the benefit matter?
The decisive factor is the number of children for whom the child benefit actually applies. If the benefit does not apply to one child (e.g., due to exceeding the income limit), the taxpayer may be treated as having only one child eligible for the benefit.
Can I benefit from a full-time student child?
Yes, but only if the child:
- has not reached the age of 25,
- continues to study,
- does not exceed the statutory income limit in a given tax year.
Can a student’s vacation job deprive parents of the benefit?
Yes. If a full-time student’s income – even from temporary or vacation work – exceeds the statutory limit, parents lose the right to the benefit for that child.
Does maintaining an adult child or paying maintenance give the right to a benefit?
No. Simply maintaining a child or fulfilling a maintenance obligation is not enough to benefit if the child exceeds the statutory income limit.
Does the individual interpretation apply to all taxpayers?
The interpretation formally protects only the person who requested it. However, it shows how the tax authorities understand the regulations and may indicate how they will approach similar cases.
How to avoid losing the child benefit?
It is worth monitoring:
- the income of full-time learning children,
- the combined income of parents,
- compliance with all statutory conditions.
