The Senate will postpone the fiscal sentence – Biznes w INTERIA.PL

In a few days, the Senate committee will reject the plan to cover limited partnerships with CIT. The entire Senate will do it in two weeks.

As written in “Puls Biznesu”, “it is very likely that the appeal of the Entrepreneurship Council, which brings together the largest business organizations, will be successful, i.e. blocking the income tax (CIT) burden on limited partnerships from January 1, 2021”.

“The opposition senators (who have a majority in the Senate) and … the calendar will come to the aid of the companies. If the Senate rejects the government bill at the meeting on November 25-27, the government will probably not have time to publish it in the Journal of Laws by November 30, 2020 (entry condition tax from January 1, 2021) “- explained.

It was recalled that “the governmental CIT law for limited partnerships (there are 40,500 of them) was passed by the Sejm on October 28, 2020 (there were 232 MPs from the ruling coalition against 215 MPs from the opposition). “The act provides for the entry of the levy on the first day of next year,” he added.

“Puls Biznesu” points out that “a bizarre mechanism has been provided for – for those willing, the tax will enter on May 1, 2021”. “Experts warn that this may be a trap, because the tax year extended by four months will gain revenues, which may mean for many companies falling into a 19% CIT from a 9% CIT. Representatives of business organizations are alarming that the burden on CIT limited partnerships (currently it is paid by the partners, not the company) will result in double taxation, which will only lead to the elimination of such companies from the market and the budget will gain nothing (the government counts on almost PLN 2 billion of additional revenues annually) “- indicated.

It was reported that “a broad front of opposition gained support in opposition groups.” The Sejm failed to block the project, so the senators intend to do so.

– On November 18, the Senate Committee on Budget and Public Finance will begin work on the bill. Opposition senators are against double taxation in principle, and this would be the case for limited partnerships if the government’s idea was implemented. We will file a motion to reject regulations that impose this tax on companies. I assume that the committee will accept it, because we have a majority in it, and we recommend the same to the entire Senate. His meeting will take place on November 25-27 and I expect that the tax should also be rejected then. This is not the right time to introduce new tax burdens – said Kazimierz Kleina, senator of the Civic Coalition, chairman of the Budget and Public Finance Committee.

Business INTERIA.PL on Twitter. Join us and read economic news

–