Renting a flat to a company for residential purposes
Text from 2019. Laws, rates and prices may have changed since then. Ask an agent
Some companies provide flats for their employees. This most often happens when the workplace is far from the employee's place of residence. The practice is also used when an employee is to perform duties temporarily in another location. Find out what renting a flat to a company for residential purposes looks like.
• Is it worth renting a property to a company for residential purposes?• Renting a flat to a company for residential purposes – VAT
Is it worth renting a property to a company for residential purposes?
A person who wants to let a flat should be guided by a few rules. It is important that the tenant is reliable, causes no problems and regularly pays the charges included in the rent. It is worth looking for prospective tenants among companies that provide accommodation for their employees; then there are no problems with the bills and formalities mentioned. In the case under discussion, a lease of the property for residential purposes should be signed. It is worth checking the situation of the specific company beforehand. We will then find out whether the company is entitled to conclude the agreement mentioned above. Much of the necessary information can be found on the internet. Ask the company to state the intended use of the rented property in the documents. It is important that it is used for residential purposes. It should not be used to run a business.
Landlords wonder what type of tenancy agreement is worth signing with a company in the case described above. We remind you that an occasional tenancy agreement (najem okazjonalny) can be concluded only between natural persons. Companies cannot become occasional tenants of a property.
FIND OUT MORE ABOUT SERVICE FLATS FOR POLICE OFFICERS!
Renting a flat to a company for residential purposes – VAT
Doubts often arise concerning VAT on a flat rented by a company for residential purposes. Is such a flat exempt from this tax? The law says that the condition for exemption from the costs mentioned is the cumulative fulfilment of the statutory requirements concerning the provision of services, namely providing the service on one's own account, the residential nature of the premises, and the residential purpose of the lease. The last requirement raises doubts. Only a natural person can rent a flat. Is a tax exemption possible when one party to the agreement is a company? However, experts confirm that renting a residential property to a company that makes it available to its employees is exempt from VAT.
Tags: interesting facts, property market, renting, renting a flat


