The taxpayer will have to pick up the bill for new government legislation
According to Rzeczpospolita estimates, the public will have to pay between zl. 2.9 - zl. 3 billion in taxes as a result of bills, which have already been accepted, or are currently being worked on by the Sejm. The additional income will be spent on building new roads, healthcare and on agriculture. Parliament last year voted to freeze personal tax brackets, which means these were not adjusted for inflation so the tax burden effectively increases by zl. 900 million. Companies do not escape either as CIT was only lowered by 1% and not 4%, which will cost enterprises zl. 1.5 billion. According to an opinion poll, 46% of the public are against increasing spending on healthcare or road construction if it means a higher tax burden. (Rzeczpospolita, pp. A1, B1) M.M. January budget deficit higher than expected, but tax collection rates also up Data from the Finance Ministry showed that the budget deficit came in at slightly more than a tenth of the annual plan at the end of January, but analysts said strong tax collection boded well for the rest of the year. At the end of the first month the budget deficit was zl. 4.1 billion, which is 10.6% of the annual plan of zl. 38.7 billion. The deficit figure came in better than last year when the shortfall stood at more than 17% of the annual plan at the end of January 2002. Analysts said budget revenues also showed better collection from corporate and personal income tax, seemed to be reflecting the gradual economic recovery. (Parkiet, p. 8; Reuters) J.K.