Sejm passes bank tax to raise over PLN 4 bn

The bill was proposed by the governing Law and Justice (PiS) party.

“Bank taxes have already been introduced in a majority of EU countries, and many other countries around the world. In this sense we are only doing the same as other countries, including the birthplace of capitalism – the UK,” commented the Minister of Development Mateusz Morawiecki.

The Polish bank tax will apply to all assets over the threshold of PLN 4 billion (EUR 0.94 billion) held by banks and credit unions, a threshold of PLN 2 billion (EUR 0.47 billion) for insurers and reinsurers, and PLN 200 million (EUR 47 million) for other lenders.

PiS have claimed that around PLN 4.4 billion (EUR 1.04 billion) a year will be raised by the tax, which will help fund projects such as newly-announced child benefit payments and lowering the retirement age.

A total of 248 MPs voted in favour of the proposal, which included most MPs from the opposition Kukiz’15 and the Polish People's Party (PSL), while 157 from Civic Platform (PO) and Modern Poland voted against.

An MP from Kukiz'15, Rafał Wójcikowski, commented that his party supported the proposals although he believes the government could have gone further in taxing the banks, and that there is scope for raising the tax next year.

However MPs from both PO and Modern Poland rejected the proposed tax, claiming that it could be passed on to the banks’ customers. Modern Poland MP Paulina Hennig-Kloska suggested that groups such as young families could be particularly affected if the interest rates on loans go up in response to the tax.

Minister Morawiecki argued earlier that this would not happen given a large degree of competition in the banking sector, which could prevent the tax from being passed on. (sl/rg)

Source: PAP