Government accepts two draft tax bills

At a press conference yesterday, Prime Minister Miller stated that the Government had accepted two draft tax bills on CIT and personal income tax. "The Cabinet has decided to accept the proposed lowering of CIT from the current 27% to 19%, from 2004," said Miller, who added that a flat rate income tax would be introduced no earlier than in 2005. Finance Minister Andrzej Raczko, also at the press conference, added that the government had thought "the most important issue was to give a positive signal to entrepreneurs." Raczko stated that discussion on the revaluation reserves of the Monetary Policy Council (RPP) would be continued and "We expect that our decisions on CIT will be noticed by the RPP and treated as an occasion for serious dialogue." Miller also added that both Raczko and Economy and Labor Minister Hausner were authorized to discuss this matter with RPP chairman Leszek Balcerowicz. (www.onet.pl; Parkiet, p. 1; Rzeczpospolita, p. A1) M.M