On September 30, 2016 Polish Ministry of Finance presented a draft of regulation, based on which the newly introduced Polish retail tax is going to be suspended. The regulations on retail tax were adopted by Polish legislator in July 2016 and entered into force on September 1, 2016. The first payments were due in October 2016. The intended suspension is a result of European Commission’s document in which the Commission claimed that the application of Polish retail tax could result in a breach of EU state aid rules. This is due to the progressive rates based on turnover which put the large retail operators in worse position than their smaller competitors (more on European Commission statement from September 19, 2016: http://europa.eu/rapid/press-release_IP-16-3104_en.htm). The Ministry of Finance claims that it is going to prepare a new draft of legislation introducing a tax on the retail sector based on a different formula.
Newly introduced Polish retail tax suspended after European Commission intervention