Popiwek

Popiwek (an acronym of PPWW, short for Podatek od ponadnormatywnych wypłat wynagrodzeń, Polish: Super-normative wages tax) was an extraordinary tax introduced in Poland in 1984. Although created by the communist authorities and initially hidden under the name of fee for the National Work Activization Fund, it is primarily associated with the Balcerowicz's Plan of 1989. It was used as one of the elements that was to fight the hyperinflation (reaching 251%) that struck Poland in 1980's. It created a state-controlled level of wages, tied to the level of inflation, and taxed all companies that exceeded the wage rise limits. In 1991 the tax was lifted for the privately held companies and the following year it was withdrawn altogether.