Purpose: The main purpose of the article is to identify the economic conditions for the development of smart cities in Poland and their changes over time. Design/methodology/approach: To achieve this goal, the first part of the article presents the distinguishing features of a smart city. Then, in national and international terms, the regions in which such units develop most dynamically and most often are indicated. In the second part of the article, the analysis of economic conditions is limited to Poland in the Voivodeship system. In the course of the study, budget data of Polish communes from 2003-2017 are used. The study covers the level of income per capita, as well as property and investment expenses, while looking for regularities and features that predispose a given region for creating smart cities. At the end, tips are formulated with the orientation both at supporting the idea of developing smart cities in Poland and preventing economic exclusion of those regions that are currently not actively participating in their creation. Findings: The incomes of communes in Poland in all researched Voivodeships in the years 2003-2017 systematically increased. The overall increase in the value of income per capita over the fifteen year research period ranged from 78% to almost 120%. However, the fastest income growth rate concerned Voivodeships with the largest number of smart cities (already existing and listed in international rankings and classifications) and the highest absolute income per capita. These were the Masovian and Pomeranian Voivodeships, which, in connection with the above, can be considered the most entitled to create smart cities in Poland. Originality/value: The research on financial aspects of smart cities development is rarely analyzed in literature and practice, therefore the results and conclusions fill the existing gap and contribute to municipal economics and management, especially in Poland.