Polish Government Approves New Tax and Deregulation Proposals

The Polish Council of Ministers has adopted a package of legislative proposals aimed at reshaping parts of the country’s tax system and simplifying selected administrative processes. The measures cover excise duties, corporate income tax, inheritance and donation taxation, and a new round of deregulation intended to support small businesses and streamline procedures.

One of the key changes concerns excise duties on alcohol and tobacco products. The government plans a phased increase in rates on spirits, beer, wine, and other alcoholic beverages starting in 2026, alongside new taxation rules for emerging nicotine products such as pouches and vaporisers. Officials say the move is designed both to strengthen budget revenues and to reflect public health considerations.

The cabinet also endorsed amendments to the corporate income tax framework, with the most visible change affecting financial institutions. The proposed measures would temporarily raise tax obligations for banks before gradually reducing them over the next three years. At the same time, the separate levy on bank assets is expected to be slightly lowered. According to government estimates, the overall balance of these reforms could generate several billion złoty in additional budget revenue over the coming decade.

A further element of the legislative package focuses on support for small enterprises. The proposed “cash basis” taxation option would allow entrepreneurs with annual turnover up to two million złoty to settle tax obligations only after receiving payment, easing pressure on liquidity and improving predictability for smaller firms. The deregulation bill also includes changes intended to speed up administrative decisions, simplify medical leave procedures, and clarify certain fiscal responsibilities at the local government level.

Updates to the inheritance and donation tax rules are included as part of the same legislative group, aiming to modernise procedures and remove inconsistencies that have emerged over time.

The government describes the proposals as part of a broader effort to align Poland’s tax and regulatory systems with current economic realities — increasing fairness in taxation while reducing administrative burdens. The draft laws will now move to the Sejm for debate and potential amendments before being enacted.

Source: gov.pl