LPP’s contribution to the economy - taxes
The international recognition of our clothing brands is growing. At the same time, we continue to nurture our company’s Polish roots and support the domestic economy by paying taxes here. In this way we have been contributing to the national budget for years.
the amount we contributed to the state budget in 2024
is the sum of investments made in the financial year 2024
Impact on the domestic economy
We strive to develop our company in a responsible manner on many levels. One of them is caring for the national economy and paying taxes to support it. It is obvious to us, because the company was established in Poland, it is where we create the collection designs for our brands and it is where the strategic decisions concerning the company are made. In Poland we also have well-developed structures responsible for such things as distribution and IT.
Apart from paying taxes in Poland, LPP also contributes to the development of the domestic economy as an employer, currently employing about 25,000 people in Poland and about 48,000 people worldwide. We also care for good relations with the environment, cooperating with universities and social organisations. In this way we gain a positive influence on the social and economic sphere of the country, including local communities.
LPP drives Polish export
One of the key branches of our activity, which allows us to support the Polish economy on a large scale, is export. LPP has been consistently implementing its global development strategy. In 2023 our brands were already available on 41 markets – countries in Europe and Asia as well as the Middle East.
LPP also pays taxes and duties on exports mostly in Poland, thus contributing hundreds of thousands of PLN to the state budget.
In this way we directly contribute to the economic development of our country and, moreover, by increasing our presence in foreign markets, we promote Polish creative thought on the international level. We are incredibly proud of these activities.
We are one of the largest taxpayers in the country and the largest on the Polish coast
Thanks to our successes in Poland and abroad, in 2024 we contributed more than PLN 2,5 billion to the Polish budget from various contributions, and above all from taxes – LPP paid more than PLN 326 million to the state from CIT alone.
We run a transparent tax policy
LPP has a transparent tax policy. We reliably fulfil our obligations to the state and every year we issue an official report that presents precise information on the amounts paid to the national budget resulting from our activity both on the domestic market and internationally.
Taxes paid by LPP in recent years
The total taxes paid by LPP to the state budget have increased year on year, save for the pandemic period, which saw a significant reduction in revenue. In 2024, the taxes totalled PLN 2.5 billion.
In previous years, there were also significant increases in payments resulting from particular obligations or types of taxes paid. In 2017, LPP paid PLN 41.7 million of CIT, compared to over PLN 326 million in 2024.
We paid almost PLN 158 million to the state budget from customs duties in 2017 and more than PLN 472 million seven years later. This growth is due to the fact that we are expanding into increasing numbers of foreign markets with our products. Over the years, LPP has paid larger amounts of social insurance contributions - in 2017 it amounted to over PLN 60.3 million, and in 2024 it went over PLN 297 million.
Since 2017 we have paid the following amounts to the state budget in total 11,5 bn PLN
| 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|---|
VAT | 613 318 | 604 754 | 457 190 | 761 231 | 895 713 | 1 069 832 | 1 200 795 |
Vat branches abroad Romania and Slovakia | n/a* | n/a* | n/a* | n/a* | n/a* | 44 313 | 45 770 |
VAT e-commerce store EU | n/a* | n/a* | n/a* | n/a* | 33 056 | 29 679 | 26 899 |
Corporate Income Tax – CIT | 149 611 | 107 893 | 40 458 | 360 180 | 183 927 | 329 237 | 326 152 |
CFC tax on foreign controlled entities | 10 598 | 26 138 | 50 945 | 31 528 | 0 | 0 | 0 |
Tax on retail sales PSD | n/a* | n/a* | n/a* | 38 024 | 53 599 | 59 292 | 68 877 |
Customs duty | 131 232 | 239 961 | 115 953 | 202 426 | 270 662 | 214 942 | 472 670 |
Personal Income Tax – PIT | 20 275 | 24 459 | 19 656 | 31 831 | 35 755 | 41 668 | 55 325 |
The State Fund for the Rehabilitation of the Disabled (PFRON) | 696 | 945 | 880 | 5 022 | 7 143 | 7 092 | 6 797 |
ZUS total | 70 570 | 88 925 | 64 267 | 153 603 | 223 224 | 243 627 | 297 751 |
Real estate tax | 3 791 | 4 578 | 4 919 | 6 018 | 7 466 | 8 187 | 9 035 |
Tax on means of transport | 3 | 4 | 2 | 2 | 1 | 0 | 2 |
Total [PLN thousand] | 1 000 094 | 1 097 657 | 754 270 | 1 589 865 | 1 710 546 | 2 047 869 | 2 510 073 |
Figures for 2022 are forecast. Final figures will be provided in July 2023 after tax returns are filed.
Data for 2018, 2019, 2020 and 2021 have been adjusted to the tax return amounts.
n/a * – The CFC tax was introduced from 2018.
The PSD tax was introduced from 2021.
VAT e-commerce store EU tax has been introduced since 2021.
Contribution to the economy: LPP vs. other companies in Poland
At LPP we understand perfectly well how great a responsibility Polish entrepreneurs have to contribute to the domestic economy, for example through the revenue we contribute to the state budget. We want to really support it, which we do thanks to the growing importance of our company also on foreign markets.
The companies ahead of us in this ranking are mainly banks and companies that operate in the broadly defined financial industry. Among representatives of the commercial sector, we are in the top group of companies that pay their taxes in Poland.
Being true to a long-standing tradition is very important to us. Therefore, while developing our activities we remember to settle the taxes of LPP in the country where our activity is centred, i.e. in Poland. The awareness that we belong to the largest CIT payers in the country makes us even more proud of our operations.
Previous tax years
Discover our reports
Here you will find our publications related to the sustainability reporting process over the years. Check LPP's progress and learn about our detailed environmental, social and business results.