Tax on large retailers to be reinstated from September 1

2019-07-02 12:27 update: 2019-07-10, 13:56
Photo: PAP/Leszek Szymański
Photo: PAP/Leszek Szymański
Poland's contested 'big box' retail tax may be reintroduced on large retailers' revenues from September 1, 2019, the Prime Minister's Office announced on its website on Tuesday. The move follows a ruling in Poland's favour from the General Court of the EU.

The tax was originally introduced in September 2016, but was suspended due to legal action by the European Commission, which considered the law a form of state aid. The tax applies two rates: 0.8 percent on monthly turnover above PLN 17 million (EUR 4 million) and 1.4 percent on monthly turnover above PLN 170 million (EUR 40 million). 

On May 16, the General Court of the European Union ruled that Poland could tax large retailers more than smaller ones. At the time, the Finance Ministry said the tax would remain suspended until year-end, as the court's decision was subject to appeal. 

"The ruling of the European Court of the EU means that the retailer tax can be collected, therefore there is no need to further suspend the provisions of the bill on the retailer tax," the PM's Office wrote, citing "the need to secure receipts of the state budget." (PAP)
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