SUBJECTIVE AND OBJECTIVE SCOPE OF TAXATION OF INCOME OF NATURAL PERSONS IN THE EU-MEMBER STATES (Podmiotowy i przedmiotowy zakres opodatkowania dochodów osób fizycznych w krajach UE)

Personal income tax is not subject to harmonization directives. Within income tax we can observe varied ways of remunerating hired employees, shaping the level of people's incomes (disability pensions etc.), different regulations of social issues within income tax, the principles of describing costs of receiving income, construction of tax rates and methodology of shaping progression. The above mentioned differences and difficulties in standardizing principles of natural persons' taxation are strongly determined by historical, social, economic and cultural conditions. Despite the lack of harmonization directives and due to the rising tax competition there occurs an automatic adjustment of the principles of natural persons' taxation in EU countries and at the same time the level of fiscal charges levels off. The following paper presents the subjective and objective range of natural PIT in Poland and EU countries, indicating that despite the lack of harmonization directives the solutions used in all of these countries are similar.