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Finance Minister Tadeusz Koscinski. January 2020. Alamy Stock Photo
Cost of Living

Polish minister resigns after tax reforms to target inflation give some low earners a pay cut

Poland is experiencing one of the EU’s highest levels of inflation, recording an annual rate of 8.6% in December.

POLISH FINANCE MINISTER Tadeusz Koscinski has resigned today after a bungled tax reform that has put the government on the defensive.

The leadership of the ruling Law and Justice party (PiS) “accepted the decision of Minister Tadeusz Koscinski to resign”, PiS spokeswoman Anita Czerwinska said after a party meeting in Warsaw.

“This is obviously dictated by the fact that the minister accepts political responsibility for the shortcomings that occurred in the implementation of the new tax rules,” she said.

Prime Minister Mateusz Morawiecki will temporarily take over the duties of finance minister until a replacement is found, she said.

Poland is experiencing one of the European Union’s highest levels of inflation, recording an annual rate of 8.6% in December 2021.

While the reform is intended to benefit all Poles except for the top earners, it has caused confusion after lower earners got a pay cut in January – including teachers.

Poland’s right-wing populist government holds a narrow majority in the lower house of parliament and the opposition has called for a vote of confidence over its handling of the economy.

 © AFP 2022

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