Will PSL help implement Tusk’s key promise? A new idea in the game
PSL encourages the Civic Coalition to gradually increase the tax-free amount. In 2027, it would increase to 35,000. PLN, and the announced level is PLN 60,000. PLN would be introduced in 2029.
According to Money.pl, the Polish People’s Party is urging the Civic Coalition to support the concept of gradually increasing the tax-free amount so that it ultimately increases to PLN 60,000. PLN, i.e. the level promised by Donald Tusk in the election campaign as part of the so-called 100 specifics.
Let us remind you that the current tax-free amount is PLN 30,000. PLN, which is the result of the Polish Order introduced in 2022 by the Law and Justice government. People earning this amount annually do not pay PIT at all.
Free amount for installments?
The People’s Party proposes the “5-10-15” model. He predicts that in 2027 the tax-free amount would increase to PLN 35,000. PLN, in 2028 by another 10 thousand. PLN, finally in 2029 there would be an increase of PLN 15,000. PLN to the announced 60 thousand. zloty.
According to the portal’s findings, high-level talks on this matter took place this week. Both sides do not want to reveal details, but admit that the matter looks promising and will be further analyzed, also in terms of preparations for next year’s election campaign.
– Our concept met with interest, also from the Ministry of Finance. We heard in KO that the proposal would be verified by government analysts. We hope to have some response within two weeks. We had the impression that there might even be a temptation to turn KO into a government project. Even if this happens, we will not negotiate paternity – one of the PSL politicians tells Money.pl.
The head of the parliamentary public finance committee, Janusz Cichoń from KO, admits that today there is no room to complete the KO declaration related to doubling the tax-free amount. He emphasizes, however, that if there is room for a “rolling” increase, he would support such a direction.
Why is there no room to double the tax-free amount? Politicians of the ruling party do not hide the fact that they are delaying the implementation of their flagship pre-election promise for budget reasons. It is estimated that the increase will reach PLN 60,000. PLN is a cost for the budget of PLN 50-60 billion. The idea of the People’s Party would cost approximately PLN 3 billion in 2027, and in the following years PLN 16 billion and PLN 35 billion, respectively. The difference results not only from the spread of the reform over time, but also from “additional compensatory activities” limiting the loss of state budget revenues. PSL proposes, among others: elimination of the costs of obtaining income in PIT for full-time positions and civil law contracts, as well as partial elimination of the deduction of paid social security contributions from the tax base.
