The beginning of the year is a time of change – new laws come into force, existing regulations are modified, and economic conditions evolve. Below are the most important changes relevant to 2024 and 2025.
- Electronic invoicing: e-invoicing becomes mandatory
As of January 1, 2025, electronic invoicing for business-to-business (B2B) transactions goes into effect in Germany. All invoices must be produced in a structured format, such as XML, and sent via a central administrative platform.
For Polish companies, this may mean the need for:
- adapt accounting systems: software should meet new technical requirements
- employee training: understanding the new processes will help avoid mistakes and improve the implementation of changes
- system integration: it is important to ensure compatibility with Polish accounting systems.
- Minimum wage and new rules for workers
As of January 1, 2025, Germany’s minimum wage increases to €12.82 per hour gross. This has implications for all companies employing workers in Germany. A claim for payment of the minimum wage is available to any employee providing work on German territory. A consequence of the above minimum wage is also an increase in the income limit for so-called “Minijobbers,” which will be raised to 556 euros per month.
The novelties also relate to facilitating the posting of Polish specialists to work in Germany:
- removal of the obligation to recognize qualifications: in unregulated professions, prior recognition of foreign diplomas will no longer be required
- facilitation of obtaining the “EU Blue Card”: salary thresholds have been lowered and the program has been extended to professions that do not require a university degree.
- Responsibilities in supply chains: sustainability as standard
The German law on responsibility in supply chains (Lieferkettengesetz) will cover companies with more than 1,000 employees starting in 2025.
These companies will be required to:
- verify suppliers: it must be ensured that there are no violations of human rights or environmental regulations in supply chains
- prepare reports: regular reports must be submitted to the relevant authorities
- minimize legal risks: violations can lead to high financial penalties and image damage.
Polish companies that are suppliers to the German market should already implement appropriate compliance measures. When assessing compliance with the condition of employing more than 1,000 employees, all employees are taken into account, not just those providing work in Germany.
- Tax breaks and investment incentives
The Growth Opportunities Act (Wachstumschancengesetz) introduces new tax breaks that can encourage Polish companies to invest in Germany.
Key changes include:
- declining depreciation: the ability to settle costs associated with investments in movable fixed assets more quickly
- support for research and development (R&D) activities: tax incentives are intended to stimulate company innovation.
- IT security and data protection: stricter requirements
IT security requirements are increasing with the implementation of the EU NIS2 directive. Companies in the critical infrastructure sector, such as transportation, energy or finance, will have to:
- regularly inspect IT systems: detecting and fixing security vulnerabilities will become a priority
- report incidents: any security breaches must be reported within 24 hours.
- Sustainability and deforestation-free supply chains
The European Union is introducing new requirements for supply chains that must be free of deforestation. Companies importing raw materials such as timber, coffee or soybeans will have to document that they do not come from areas burdened by illegal logging.
Polish exporters should:
- make detailed documentation: every step of the production process must be transparent
- cooperate with certified partners: only suppliers who meet the requirements will be able to maintain cooperation with German companies.
Summary: Preparation is the key to success
Upcoming legal and tax changes create both challenges and opportunities for Polish companies in the German market. The key to success is a proactive approach: adapting to the new requirements, investing in sustainable development and taking advantage of tax incentives. Despite the new regulations, Germany remains a key trading partner for Poland. Increased demand for Polish products and services, especially in sectors such as construction, transportation and IT, is opening up new opportunities for companies.
As a law firm specializing in Polish-German relations, we are ready to support you in overcoming these challenges and building long-term success in the German market. For more information or a personalized consultation, please contact us.
Dr. Dominik Wagner LL.M., EMBA Rechtsanwalt and Partner TIGGES Düsseldorf
Tomasz Baron LL.M. Legal Counselor, Sales Partner TIGGES Katowice
The article appeared in the December issue of Business HUB.
Online PL version of the issue can be downloaded: HERE.
TIGGES Law Firm is one of the Member Companies of the RIG in Katowice.