As of January 2026, new tax regulations in Poland link vehicle cost deduction limits directly to carbon dioxide emissions, significantly reducing tax benefits for businesses using traditional combustion-engine cars.
Fiskus Targets Carbon Emissions
From January 2026, a new system for accounting for business-use passenger cars has been implemented. The primary criterion is now carbon dioxide emissions, which determine the cost limit a business can claim for tax deductions.
Government documents frame these changes as an alignment with European Union climate policies. In practical terms, however, the rule is straightforward: the higher the vehicle’s CO2 emissions, the lower the cost limit allowed for tax reporting purposes.
Three Tiers Replace Two
The system has expanded from two to three depreciation thresholds. The highest limit of 225,000 PLN is reserved for battery electric (BEV) and hydrogen vehicles. A 150,000 PLN limit applies to vehicles emitting under 50 grams of CO2 per kilometer, primarily plug-in hybrids. All other vehicles, including standard combustion cars and non-plug-in hybrids, face a drastically reduced limit of 100,000 PLN.
Popular models such as the Toyota Corolla 1.8 Hybrid and Hyundai Tucson 1.6 HEV have moved into the least favorable category, creating a significant impact on operating costs for many businesses.
Impact on Existing Assets and Leasing
Rules for previously purchased vehicles vary. Combustion cars added to assets in 2025 retain their previous depreciation limits. However, for vehicles leased or rented in 2025, businesses must apply a new proportion if the car’s price exceeds the revised limit starting in 2026.
Tax advisor Piotr Juszczyk explains that this proportion is calculated by dividing the new limit by the vehicle’s price. This affects leasing installments and insurance premiums like AC and GAP, though it excludes mandatory third-party liability insurance and ongoing maintenance costs.
Market Discrepancies and Expert Criticism
Financial calculations reveal substantial losses for businesses. For a Hyundai Tucson 1.6 HEV worth 161,000 PLN, tax benefits could drop by over 11,000 PLN over five years under the new rules. Tax experts argue these regulations ignore market realities, noting that car prices have surged since 2021 while deduction limits have remained stagnant or have been lowered.
Market data supports these concerns, as 94.2 percent of new cars registered in Poland in the first half of 2025 emitted 50 grams or more of CO2 per kilometer, leaving only a tiny fraction of the market eligible for the 150,000 PLN threshold.
Green Transformation or Hidden Costs?
While intended to promote eco-friendly transport, the high cost of electric and plug-in hybrid vehicles remains a barrier for many firms, compounded by limited charging infrastructure. For many business owners, the transition is currently driven by cost-cutting calculations rather than purely environmental considerations.
