The Ministry of Finance wants the tax bills of the New Deal to be delivered to parliament in early autumn, so that the new tax regulations apply from January 1, 2022, according to Deputy Minister of Finance Jan Sarnowski.
“The legislative process of these bills has been planned in such a way as to now slowly close the concept stage, we want to finish this work by the end of June so that the legislative process at the government level begins in July and the bills can be submitted to the parliament in early autumn. that the regulations are processed by the Sejm and signed by the president by the end of November this year and that the first year of settlements under the new rules is 2022, “Sarnowski stated.
He added that the impact of the tax package on the labor market and the increase in the tax-free amount will increase employment, encouraging the economically inactive to enter the labor market, which in turn will reduce the barrier to the development of companies in the form of low labor supply in the Polish economy.
“In Poland, we have the lowest unemployment rate in Europe, which is of course a very positive phenomenon in the difficult period of economic freezing. But entrepreneurs have been struggling with a shortage of hands for some time, which has also been exacerbated by the pandemic and the closure of borders. Therefore, a significant increase in the free quota will be a significant, tangible incentive for the entry of economically inactive people into the labor market. Increasing their salaries will facilitate the activation and finding of urgently needed employees by companies “- emphasized Sarnowski.
“We are talking about 4 million people who are able to work, which is almost twice as much as the number of people who will pay more as a result of the reform,” he added.
“As for costs – the effects apply to the entire economy [PLN 5-7 billion of costs] of public finances and are distributed in such a way that the NHF revenues will increase by several billion PLN, while the income from PIT will decrease by approx. PLN 20-22 billion, in therefore, the loss of local government units will be half of the amount I gave in terms of the loss in PIT “- said Marek Skawiński, director of the Macroeconomic Policy Department.
In the case of current tax credits (child tax credit, internet tax credit) no changes are planned.
“Such changes are not planned. All the current deductions in the legal system will remain tax-free after increasing the amount,” Sarnowski said
The effects of the “Polish Deal” – according to the chief economist of the Ministry of Finance Łukasz Czernicki – will have a positive impact on local government budgets.
“The effects we have calculated do not take into account the so-called second hand. The positive effect of the ‘Polish Deal’ and the tax reform increasing the labor supply, limiting the shadow economy and increasing private investment – they will fuel the economic situation and have a positive impact on the state budget and local government budgets. to the distribution of subsidies for local governments, to my knowledge, it will be an algorithm included in the act and will be directed to local governments in the objective manner “- indicated the chief economist of the ministry.
Source: ISBnews
