Andrzej Duda and his wife Agata Kornhauser-Duda decided that after leaving the presidential palace, they would run a business. For this purpose, they established a limited partnership called “Andrzej Duda PAAD”. What does this mean from a legal and tax point of view? Does such a company have only advantages? Turns out not.
A limited partnership is certainly more flexible than a limited liability company and allows you to pay lower taxes. From a confidentiality perspective, it is much better to set up a sole proprietorship.
One company instead of two activities
Anyone who wants to run their own business has several options to choose from. The most popular are sole proprietorship and limited liability company. Andrzej Duda and his wife chose a limited partnership. Why not business?
First of all, they apparently wanted to run one company, not two. As the name suggests, the business is a sole proprietorship. This means that both the former president and his wife should set up their own.
The entry in the National Court Register shows that the company was established for the activities of Andrzej Duda (consulting, scientific research, market research), as well as for the qualifications of Agata Kornhauser-Duda, who, before she became the first person, taught German at a high school (activities supporting education, learning foreign languages, courses and training).
Type of business conducted by the company
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KRS
Although too Two interesting items appear: real estate rental and management and social assistanceand.
Agnieszka Wnuk, tax advisor at Quidea, also draws attention to another aspect.
— In terms of image, a company is sometimes perceived as more credible than a sole proprietorshipespecially by larger entities, he says.
Lower taxes are a big advantage of a limited partnership
To have one company, they could form a limited liability company. Why didn't they do it? The reasons may be different, but everything indicates that it is about taxes.
— In a limited partnership, it is easier to manage the business risk of individual partners, there is greater flexibility in the distribution of profits, and, above all, lower taxation – translates Dominika Jaszczyk, tax advisor in PragmatIQ,
In a limited liability company, we have double taxation: CIT on the company's income (9 or 19%) and PIT on the payment of dividends to partners (19%).
— In a limited partnership there is a CIT, but the partners have special privileges – says Dominika Jaszczyk,
Here's something worth knowing There are two types of partners in a limited partnership. One is a complementary partner, who represents the company, manages it and bears full responsibility. It is Andrzej Duda. The second is a limited partnerthe real risk of which is limited to the amount of contributions made. The winner was Agata Kornhauser-Duda with a contribution of PLN 10,000. zloty.
In a limited partnership, profit is paid, which is equivalent to a dividend. If a partner is a general partner, his individual taxation of the partnership's profits will not be higher than the effective rate of 19%. This is due to the possibility of using the so-called general partner deduction mechanism. When paying a dividend to the general partner, the share of the tax paid by the company is deducted from the amount of tax that should be collected at the rate of 19%.
A limited partner does not bear the risk, so he cannot use the same deduction as the general partner. However, if Agata Kornhauser-Duda was not the partner's spouse, she could benefit from PIT exemption. It covers 50 percent. income from profit, but not more than PLN 60,000 PLN per year.
— To put it simply, with proper structuring, a limited partnership can have current taxation comparable to that of a business, explains Agnieszka Wnuk, tax advisor at Quidea.
However, if the partners had more than PLN 1 million in profit, they do not have to share the so-called solidarity tribute. If they were operating on a surplus over the above-mentioned amount, they would give 4% to the tax office.
Just like in a business activity, partners of a limited partnership must pay health insurance contributions. It amounts to 9 percent basicswhich is the amount of the average monthly salary from the fourth quarter of the previous year, announced by the Central Statistical Office. This means that in 2026 it will amount to PLN 432.54 per month.
Less formalities, although you have to take costs into account
A limited partnership stands out simpler legal and organizational services.
— For example, convening a meeting of shareholders in a limited partnership may take place informally, even by telephonewhile in a limited liability company it is often required to follow appropriate procedures, such as sending notices by registered mail two weeks in advance – explains Dominika Jaszczyk
It is also important that if the business fails, it is easier to close a limited partnership than a limited liability company. — The process of liquidation of a limited partnership is simplified – unlike a limited liability companyit does not require a full liquidation procedure lasting at least six months – points out Dominika Jaszczyk.
To set up a company, however, you need to go to a notary and then keep full accounting, which involves costs.
Openness and transparency in the National Court Register are a big disadvantage of companies
However, Agnieszka Wnuk draws attention to an important disadvantage of running a business in the form of a company. It does not matter whether it is a limited partnership or a limited liability company.
— When deciding to set up a company, you must be aware of the need to disclose a lot of data in the National Court Register. Some of them are available on the eKRS portal, others can be accessed by viewing the files in the court. Protecting privacy is therefore more difficult, explains Agnieszka Wnuk.
From the National Court Register we know, for example, that Andrzej Duda and Agata Kornhauser-Duda do not have a property resolution. What does this mean in practice?
Although the former first lady, as a limited partner, bears less risk, if the company does not have money to cover its liabilities, the debtor can still use the joint property. The general partner, i.e. Andrzej Duda, is liable for the company's obligations with his entire assets, without limitations.
You can also find out the full PESEL number of the presidential couple from the National Court Register. And in a year and a half you will be able to check how their business is doing financially. Andrzej Duda PAAD, like other companies, will have to submit financial statements.
In a word, the former presidential couple, when establishing a company, had to take into account tax consequences, but also the consequences of making a lot of data public and other risks.
Dominika Jaszczyk believes that in the case of Mr. and Mrs. Duda, it was a well-thought-out decision.
– It is worth sensitizing everyone here – to choose legal forms tailored to their goals and needs, and not because “a colleague has this and not another form of activity” – he concludes.
