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Poland announces business-friendly legislative changes

Wyślij Print Pobierz added: Tomasz Piętka | 2016-11-28 07:44:38
business, regulation

Poland will build its business law on economic freedom and on partner relations between businesses and the state, deputy PM and Development and Finance Mateusz Morawiecki said, announcing a legislative proposal dubbed "Constitution for Business."

"The Constitution for Business is addressed mostly to small and medium firms that don't have compliance departments and the like," Morawiecki told the economic congress in Rzeszow, eastern Poland.

"It is fundamentally important for us to be able to rely on the law," he said. "If I seek a single factor for strong economies, I see a single common factor: cooperation between the firms and the state."

The government hopes that the solutions proposed will also encourage smallest, micro firms to exit the shadow economy, Morawiecki said.

The government wants to offer "the best possible regulatory environment" for entrepreneurs in exchange for creating "high-quality jobs," the deputy PM also said.

The package is based on four main principles: what is not forbidden, is allowed; presumption of honesty of an entrepreneur; business-friendly interpretation of unclear laws and proportionality of measures by public administration versus firms.

The package comprises a number of solutions, among which are the following:

Persons launching business will be exempt from social insurance premium for six months and afterwards will be able to benefit from the existing two year period of paying reduced premiums. There will be no need to register business activity with monthly revenues of up to 50% of minimum wage.

The government will appoint an entrepreneurs' ombudsman and a bipartite government and entrepreneurs commission which will be complementary to the existing social dialogue council.

The government wants to raise a number of revenue thresholds that allow for simplified reporting or tax payments for smaller firms.

Inspections are not to be conducted at random, but are to focus on firms where likelihood of law violations is the highest.

Companies will have to keep their financial statements only for a five-year period. There will be simplification of rules for tax deductible expenses, which are one of the most common reason for disputes between tax payers and tax offices.

A new legal form for enterprises will be introduced which would combine the ease of creating a firm (limited liability company) with the possibilities provided by a joint-stock company.


The Warsaw Voice, 21st November 2016

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