Poland's "Grey" Economy Still Thriving
Published:
22 June 2000 y., Thursday
For every Zl100 worth of goods produced by lawful, tax-paying companies in Poland, another Zl15 worth is produced for the "grey" economy to avoid taxes, the Central Statistical Office (GUS) said.
GUS said in a recent study that most illicit activity takes place in officially registered companies which lower their tax burden by paying dues on only part of their output.
The report stressed such activity would have increased GDP by 15.3 percent in nominal terms in 1998, down from a high of 17.2 percent in 1994 - the first year that GUS tried to estimate the extent of tax evasion.
Poland's economy has blossomed since communism collapsed in 1989 with much of the initial entrepreneurial drive created by street vendors and other small businesses, which often took advantage of inefficient communist-era tax regulations. Over the past years successive cabinets have worked to limit the "grey" economy by introducing value added taxes.
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The World Bank is seeing a surge in demand from borrowers seeking the Bank’s expertise to mitigate currency and interest rate risk.
more »
The European Commission has approved under EU state aid rules a Lithuanian package intended to stabilise the markets as a response to the global financial crisis.
more »
Total cereal production in 2010 should be close to the average from the last five years. While the yield per hectare will be 5% above average, overall cultivated areas have decreased.
more »
According to the unaudited data, AB Bank SNORAS profit prior to provisions and tax exemption within the first half of this year comprised LTL 51 million, the bank formed almost LTL 48 million provisions.
more »
The European Commission today approved two applications from Denmark for assistance from the EU Globalisation Adjustment Fund (EGF).
more »
The European Investment Bank today signed two loans for a total amount of EUR 150 million in support of small and medium-sized enterprises (SMEs) in Turkey.
more »
On 23 July 2010 the Board of the Bank of Lithuania permitted Bank SNORAS to register a change to the articles of association related to the increase of the authorized capital of the bank by LTL 82.3 million up to LTL 494,217,107.
more »
Heads of State and top officials from the Central American Integration System and World Bank Group President, Robert B. Zoellick, agreed to join efforts towards regional cooperation and integration and adopted a comprehensive agenda that includes an action plan with more than 20 specific measures.
more »
The Executive Board of the International Monetary Fund (IMF) today approved the full cancellation of Haiti’s outstanding liabilities to the Fund, of about SDR 178 million (equivalent to US$268 million).
more »
The Executive Board of the International Monetary Fund (IMF) today completed the third review of Latvia's performance under an economic program supported by a Stand-By Arrangement (SBA).
more »