On 23 October 2026, the Sejm formally adopted MP Ryszard Petru’s transitional relief amendment for the PIT second threshold. Prominent economist Professor Jerzy Osiatyński warned in a televised debate that piecemeal amendments without a comprehensive tax expenditure review undermine fiscal coherence. He cited the OECD’s 2025 Tax Policy Review of Poland, which identified 142 tax expenditures costing 4.2% of GDP, most unevaluated for effectiveness.
Key Takeaways
- Tax Expenditure Review Urgency: The government committed to a spending review of all PIT and CIT preferences by June 2027, per the National Recovery Plan milestone.
- Marginal Rate Complexity: The amendment creates a temporary four-bracket structure (12%, 24%, 30%, 32%) for 2026–2027, increasing compliance costs for payroll systems.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement