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Poland Suspends Retail Sales Tax until 2019

28 November 2017

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Approved Changes

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Poland

On 15 November 2017, Poland's President, Andrzej Duda, signed into law an amendment to the Retail Sales Tax Act that suspends the effective date of the tax to 1 January 2019. The tax was introduced in September 2016 with progressive rates of up to 1.4% on monthly turnover. However, the European Commission found the tax to be in breach of EU State Aid Rules because its progressive nature would unduly favor certain companies over others ({News-2017-07-03/A/5-previous coverage}). Instead of amending the tax to comply with the decision, Poland has decided to wait for its challenge of the Commission decision to...