EU challenges new Polish retail tax
The European Commission (EC) has opened a state-aid probe into Poland’s new retail tax.
The tax is levied on the turnover of supermarkets, with an upwards sliding scale based on the total turnover of each retailer. The EC’s injunction will investigate whether the progressive nature of the rates scale amounts to an unfair competitive advantage for smaller stores. Stores with a monthly turnover of below PLN 17million are exempted from the tax. The tax is now suspended until the EC completes its probe.
Poland introduced the tax in September 2016 to help meet budget commitments to increased welfare spending.