Experts: amount free of taxes need to increase – Virtual Russia

the Legislator, carrying out the decision of the constitutional Court should increase the amount free from taxes – experts in the area of taxes. Matt promises to keep it in 2017 at the current level.

In October last year. The constitutional court ruled that the provision of the law on personal income tax, indicating the amount free from taxes, “to the extent that it does not provide for mechanism of adjusting the amount that reduces the tax, for at least the subsistence level does not correspond to article 2 and article 84 of the Constitution of the Republic of Poland”. CT of the wisdom pointed out in addition that the recipe within the range specified in the decree loses its power of acting with the date of 30 November 2016.

Deputy Minister of Finance Leszek Skiba said Tuesday that the Agency is working on the amendment in respect of the amount free from taxes. He noted that in 2017. it will be at the level of previous years; this would be a temporary solution, and the sentence a CT will be fully implemented in 2018.

Professor Jadwiga Glumińska-Pawlic of the Silesian University in response to a question on PAP, about what will happen if the legislator does not have time amendments to the law on personal income tax until November 30 and will not update it until the decision of the constitutional Court, it noted that, in accordance with the decision of the TK recipe regarding amounts free loses power. “This means that next year will not act sum, free of tax, starting from December this year we will not be right the right to reduce the advance payments on income tax,” he explained.

she Added that when applying to the Tribunal, the Ombudsman pointed out that the last credit amount free, took place in 2006. Meanwhile, tax laws and other laws assumes that if inflation increases, then the mechanism of indexation.

“in fact, during these 10 years prices have risen almost 18 percent. So, we are dealing with existing for many years the so-called cold progression in the PIT. As the amount free from taxation, as the cost of obtaining income for employees who receive income from employment, at the time, has not changed, therefore, any increase in salary, or to take additional work can cause an increase in taxation,” he explained.

she Emphasized that the taxpayers had hoped that the legislator przychyli as for the verdict of the TRIBUNAL, as well as their campaign promises “Manneken Pis” and increase the number of free.

“With the sentences do not argue, but performs them, but history shows that in Poland the solution, maybe not respect. Maybe some free amount will be determined, even in the same current version. We had such a situation that the prescription was expired, so put it in the law, in the same current version. Until 30 November a little more time left,” he said.

KPMG Partner Andrew Marchak believes that the contested TK recipe you want to change, otherwise we will have a big chaos “practical, formal and legal”. He noted that the Ministry has movement only in one direction can raise the amount free. “This, unfortunately, will end so that the amount of free will in some area raised, but will have to pay,” – noted. According to him, can be introduced, for example, the third tax rate. “Somewhere the money must be found. And we are not talking about a flat tax, which will apply from 2018, but the tax increases in 2017.” – warned.

while a partner in a law firm hospital medical center Brands Kolibski noticed that the decision of the TRIBUNAL is the nature of the band, and niekonstytucyjność rules applies only to that amount free no waloryzowana. According to him, if the government does not implement the decisions of the TC and have not increased the amount free, then next year it will remain at the current level.

“the Taxpayer will have the opportunity, however, to initiate proceedings for the return of overpayment of tax with reference to the decision of TK and independently waloryzując amount of free to the subsistence level (since 2015. made it for holding consubstantial approx. 6,5 thousand. rubles a year – PAP),” said Kolibski. He said TK didn’t take into account that the legislator may not implement the decisions, pointed it what to do and gave it more than a year.

the Court in the explanation the court explained, inter alia, that the legislator should have in mind that the current amount that reduces the tax inadequate any economic parameters. In addition, according to the Court, by making changes to the laws should take into account the different possibilities of implementing the specified destination. “In case of realization of this goal, keeping in the right amount that reduces the tax, it is necessary to introduce an appropriate mechanism of adjustment,” says TK.

increasing the amount free from taxes was the promise of the elections as Law and Justice, and President Andrzej Duda. In early December last year. in the Sejm held the first reading the presidential draft law concerning increasing the amount free from taxes. The draft was sent for further work in committees. The budget envisages an increase up to 8 thousand. rubles the amount free from taxes.