Letter from Frank Elderson, Member of the Executive Board of the European Central Bank (ECB), to Tadeusz Kościński, Minister for Finance of Poland, regarding the non-consultation of the ECB on the Law amending the Law on personal income tax and certain other laws
Date: 2021-12-28
Institutions: European Central Bank
Subjects: money

Frank Elderson  
Member of the Executive Board 

Mr Tadeusz Kościński 

Minister for Finance 

Ministry of Finance 

ul. Świętokrzyska 12 

00-916 Warszawa

POLAND

Dear Minister, 

ECB-PUBLIC 

[COURTESY TRANSLATION1] 

Frankfurt am Main, 28 December 2021 

It  has  come  to  the  attention  of  the  European  Central  Bank  (ECB)  that  on  29  October  2021  the  Polish 

Parliament  adopted  the  Law  amending  the  Law  on  personal  income  tax  and  certain  other  laws2 

(hereinafter the ‘Law’), which will enter into force on 1 January 2022. 

The  ECB  understands  that  the  Law  introduces,  inter  alia,  certain  limitations  on  cash  payments.  In 

particular, the Law amends the Law on consumer rights by imposing an obligation on consumers to use a 

bank account for any payments exceeding PLN 20 000 or the equivalent of this amount. Additionally, the 

ECB  understands  that  the  Law  introduces  changes  to  the  Law  on  entrepreneurs.  Currently,  any 

settlement  between  business  owners  exceeding  PLN  15  000  (or  equivalent)  must  be  settled  via  bank 

accounts. Based on current exchange rates, this amount is equivalent to approximately EUR 3 200. As a 

result  of  the  Law,  this  amount  will  be  decreased  to  PLN  8  000,  which  is  equivalent  to  approximately 

EUR 1 700, based on current exchange rates. 

The explanatory memorandum to the Law does not explain or justify these limitations on cash payments. 

Therefore, it cannot be determined with certainty that the cash payment restrictions introduced in the Law 

were  adopted  in  the  public  interest,  which  is  a  pre-requisite  for  the  lawfulness  of  such  restrictions. 

Moreover,  in  past  opinions3  the  ECB  has  consistently  emphasised  that  limitations  on  cash  payments 

should be proportionate to the objectives pursued and should not go beyond what is necessary to achieve 

such objectives, and that any negative impact of such limitations should be carefully weighed against the 

anticipated public benefits. When considering whether a limitation is proportionate, the adverse impact of 

1   The official ECB letter is addressed in the official language of the concerned Member State.
2   Ustawa z dnia 29 października 2021 r. o zmianie ustawy o podatku dochodowym od osób fizycznych, ustawy o podatku

dochodowym od osób prawnych oraz niektórych innych ustaw (Dziennik Ustaw z 2021 poz. 2105). 

3   See Opinions CON/2017/18, CON/2020/17 and CON/2020/33. All ECB opinions are published on EUR-Lex. 

ECB-PUBLIC 

the limitation in question should always be considered. Therefore, an impact assessment may be useful 

to assess any negative impact of the introduced limitations against the anticipated public benefits. 

In  accordance  with  Articles  127(4)  and  282(5)  of  the  Treaty  on  the  Functioning  of  the  European  Union 

and  Article 2(1)  of Council  Decision 98/415/EC4 national authorities are required to consult the ECB  on 

draft legislative provisions concerning matters that fall within its fields of competence, including means of 

payment. 

The ECB would appreciate the Polish authorities giving due consideration to the above observations by 

honouring their  obligation to consult the ECB  in the future,  in  particular  in the case of further  legislative 

work initiated in relation to the issues regulated by the abovementioned Law. 

Yours sincerely, 

[signed] 

Cc: 

Mr Glapinski, President, Narodowy Bank Polski 

Mr P. Gentiloni, Commissioner for Economy, European Commission 

Mr D. Calleja Crespo, Director-General Legal Service, European Commission  

Encl. 

Guide to consultation of the ECB by national authorities regarding draft legislative provisions 

4   Council Decision 98/415/EC of 29 June 1998 on the consultation of the European Central Bank by national authorities 

regarding draft legislative provisions (OJ L 189, 3.7.1998, p. 42). 

2