Work is underway to limit Belka’s burden. A draft law on this issue will be presented in February, Andrzej Domański, Minister of Finance, announced.
Capital gains tax, i.e. the so-called Belka tax was introduced in 2002 by the government of Leszek Miller, in which Marek Belka was Deputy Prime Minister and Minister of Finance. Initially the tax rate was 20 percent. and included profits from savings on bank deposits and deposits. In 2004, taxation was also extended to capital income from stock market investments; at the same time the tax was reduced to 19%.
Domański: We will limit Belka’s burden
– Work is underway at the Ministry of Finance, we even discussed Belka’s tax with State Secretary Neneman yesterday. As we said during the election campaign: it is about limiting Belka’s taxes, creating a new system of incentives to save, either in bank accounts or on the stock exchange, said Andrzej Domański, head of the Ministry of Finance, on Radio One.
– This must of course be done in a responsible manner – so that banks and brokerage firms are prepared for this process. I will talk about it, for example with the Polish Banking Association, to implement such solutions together. Certainly, the capital gains tax, commonly known as the Belka tax, will be limited. (…) We will certainly present the project in February, the minister said.
Tusk promised to increase the tax-free amount. ‘Consultation necessary with coalition partners’
Domański said the ministry is also working on increasing the tax-free amount of the PIT to PLN 60,000. PLN from 30 thousand zloty. As he explained, their solution would be a matter of the coming months, but the necessary elements would include: consultation with coalition partners.
Prime Minister Donald Tusk announced in December that the tax-free amount would increase from PLN 30,000. PLN to PLN 60 thousand PLN is still possible, but such a proposal will not come during the first 100 days of the government.
In turn, the Deputy Finance Minister responsible for taxes, Jarosław Neneman, stated in early January that the tax-free amount of the PIT was increased to PLN 60,000. PLN from PLN 30 thousand could result in a reduction of the personal tax burden by about PLN 48 billion in 2024.
Source: Do Rzeczy
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
