Up to 30,000 zlotys of the tax-free amount for all Poles – this is one of the assumptions of the Polish New Deal that was introduced on Saturday 15 May. According to the assumptions, the second tax threshold will also increase – from 85 thousand to up to 120 thousand PLN. Government goal Matthews Moraveki Ia equalizing the opportunities for low-income people and increasing their wages by about PLN 140 per month. What do economists think of these plans?
New deal. Who will pay for the changes that the Law and Justice Party wants to make? “This is not a zero-sum game.”
Someone has to pay for all the changes proposed by the government. The Poles would lose the “rich” the changes that might be introduced under the New Deal. According to accounts the moneyThe Polish minimum wealth here is 10-11 thousand. has increased.
According to the estimates of the Ministry of Finance, this increase in the tax-free amount and raising the minimum amount will cost the state treasury around PLN 22 billion. Income from this tax, which has a total value of 65 billion PLN will decrease. Of the 22 billion Polish zlotys, about 8 billion PLN will not go to local governments, which represents the cost of Ministry of Finance That’s exactly 14 billion zlotys – an amount on air TVN24 Economic journalist Kazimierz Krupa.
He also evaluated the changes he had proposed Law and justice They are “neutral to the state.” The reason for this is “different regulation” (increase) of certain premiums – for example health insurance. Then the treasury “collapses”.
– It’s like 500 plus, it pays all the time, and referees say they can find billions for this perk. Sorry, did they find it somewhere while they were walking in the park, for example? No, this is a zero-sum game – the budget isn’t made of rubber, to pay here, you have to take it here – added Krupa.
“The budget is not made of rubber,” but the Law and Justice Party counts on the economic implications. What about this economic and political environment?
Kazimierz Krupa is not alone in a skeptic of the Law and Justice Party’s New Deal. As mentioned earlier, the Polish New Deal will cost the Poles through 2030 651.6 billion PLN.
Both economists and politicians have spoken of Polish Lada. Adrian Zandberg of Together said the tax-free amount was a plus for the program, but “the dog is buried in the details.” “On the negative side: developer support and loans that inflate home prices. 7 per cent for health, but in 6 years – not enough. People are dying now,” – wrote the politician.
Dariusz Rosati said on Twitter: “Kaczyński: tax-free sum of 30,000, second tax threshold of 120,000. But not a word about eliminating the deduction of health insurance contributions from tax. The middle class, individual properties and scale professionals will lose.” In the next entry, the deputy admits. That the pensioners would receive about 100-150 PLN in benefits, but due to inflation at the level of 4.3%. “They will lose 90 PLN due to higher expenditures on non-public health care – 100 PLN, and because of the lower retirement age of 350 PLN, which gives a total of 540 PLN per month.”
What areas should the New Deal cover? According to the announcement, the program is supposed to address issues such as:
- Poles health,
- Honest work – decent pay,
- Family and home are at the heart of life,
- CyberPoland 2025,
- Good corporate atmosphere.
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