Poland announces zero taxes for parents raising two children

2025-10-16 21:25:43Kosova&Bota SHKRUAR NGA REDAKSIA VOX

Poland's president has signed a new tax reform aimed at easing the financial burden on families and boosting economic growth. The new law provides for zero personal income tax for all parents raising at least two children, including legal guardians or foster parents.

The tax relief will apply to annual incomes of up to 140,000 zlotys (about 32,973 euros) and is expected to bring an average increase of 1,000 zlotys (235 euros) to a family's monthly budget.

The bill was first introduced in August by President Karol Nawrocki, who had made the measure one of his key campaign promises, included in the “Contract with Poles” program. He symbolically signed the law on August 8, before submitting it to the Sejm for approval.

The reform takes effect immediately, but the effect on citizens' pockets will be seen in the 2026 tax returns, which will be submitted in 2027.

This decision is part of a broader reform package called "Tax Armament", which also includes reducing VAT from 23% to 22%, abolishing the capital gains tax, and automatic indexation of pensions.

The Polish government aims with this package to increase consumption, improve the livelihoods of families, and promote professional activity in a labor market that is facing demographic challenges.


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