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Driver's finances › A car in a sole proprietorship

A car in the business — the 2026 rules

A company car brings real tax benefits — but only with the right tax form and awareness of the caps.

VAT: 50% or 100%

You deduct 50% for mixed (business-private) use — the safe standard. 100% requires exclusively business use: a VAT‑26 filing, a mileage log and a usage policy. Running costs (fuel, servicing): 75% for mixed use, 100% for business-only.

The 100,000 zł cap

From 2026 a car's value counts as cost only up to 100,000 zł (combustion), 150,000 zł (low-emission) or 225,000 zł (EVs) — art. 23(1)(4) of the PIT Act. The excess never becomes a tax cost. In an operating lease the cap covers the capital part of instalments.

The lump-sum trap

Under the lump-sum tax you cannot deduct costs — instalments, depreciation, fuel. The whole „company-car saving” disappears; only the VAT deduction remains (if you are VAT-registered). Before buying a car „for the business”, check your tax form — the full guide: a company car in a JDG.

Business accounts for a JDG — comparison at Finumero ↗
Before signing the financing contract — check the car is worth its price → VARTOCAR report 49 zł

FAQ

How much VAT can I deduct on a JDG car?
50% for mixed use or 100% for business-only use — the latter requires VAT-26, a mileage log and a usage policy. Running costs: 75% or 100% respectively.

Is a company car worth it under the lump-sum tax?
On the cost side, no — the lump-sum tax does not allow cost deductions, so instalments, depreciation and fuel won't lower your tax. Only the VAT deduction remains for VAT-registered taxpayers.

In this cluster

◆ Driver's finances✓ A car loan✓ Car leasing✓ Creditworthiness✓ VAT on a car✓ An importer's account✓ Loan overpayment✓ Insurance as a cost
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