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CIT Law changes to stifle Corporate Investment Financial Regulator KNF, Equities News - EquitiesPoland.pl
Coverage of high-potential mid-market firms in Poland

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CIT Law changes to stifle Corporate Investment - Financial Regulator KNF

Poland's proposed changes to the CIT law, particularly those assuming capital gains and other profits would be taxed separately, could negatively affect brokerages and insurers and stifle corporate investments, financial market regulator KNF said in an opinion to the bill.

 

For brokerages, "separating capital gains from other income is disrupting the holistic view to the operations of an entity," KNF said.

 

"One has to take into account the fact that capital market operations conducted by brokerages have impact not only on P&L of such entities, but also have a large impact on functioning of the capital market and its development," it said. "The proposed solution may have a negative impact on economic growth through stifling of corporate investments."

The bill does not seem to take into account "peculiarity of the insurance business," KNF also said.

 
 

2017-07-31



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