Kościński said that given the background of monthly data on retail sales and production, tax revenues look relatively good.
Rafał Guz/PAP

Poland’s budget deficit is estimated at PLN 3.4 billion (EUR 747 million) at the end of March, Finance Minister Tadeusz Kościński has told PAP.

“The higher-than-planned execution of receipts and lower expenses had an impact on the budget after the first quarter,” he said. “We estimate that after the first three months of 2021, the deficit will amount to PLN 3.4 billion.”

According to Finance Ministry data, in the first three months budget revenues increased by PLN 4.9 billion (EUR 1.1 billion), or 5 percent year on year, and reached PLN 101.1 billion (EUR 22.2 billion) while tax receipts rose by 6.5 percent in annual terms.

Kościński said that given the background of monthly data on retail sales and production, tax revenues look relatively good.

Value added tax (VAT) revenues reached ca. PLN 48.9 billion (EUR 10.74 bln) at end-March, up by 9.3 percent year on year.

Personal income tax (PIT) revenues increased by 7.1 percent whereas corporate income tax (CIT) revenues increased by 5.7 percent year on year in the first quarter of the year.

Excise tax receipts came in at 4.6 percent below the same period from last year.

Budget expenses reached PLN 104.5 billion (EUR 22.97 billion), down by 1.1 percent year on year, and came to 21.5 percent of the 2021 plan.

Poland plans an PLN 82.3-billion (EUR 18.07-bln) budget deficit in 2021, according to the budget bill.