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Poland appeals over EU red light for retail tax

PR dla Zagranicy
Paweł Kononczuk 01.12.2016 11:44
Poland has appealed to the European Court of Justice in Luxembourg after the EU ordered Warsaw to suspend a progressive retail tax.
Photo: pixabay.comPhoto: pixabay.com

Brussels started a probe after voicing concern that the tax, which came into force in Poland in September, could favour smaller shops, and that this could breach EU state aid rules.

Polish Foreign Ministry spokeswoman Joanna Wajda told the PAP news agency that Poland was contesting the European Commission’s view that the tax constituted state aid.

Poland is also accusing the Commission, the executive arm of the European Union, of breaching EU law by ordering the progressive tax to be suspended.

The Polish government had expected the retail tax to boost state coffers by PLN 1.6 billion next year.

The tax was proposed as part of the Law and Justice (PiS) party’s campaign last year ahead of its landslide win in Poland’s parliamentary elections.

Revenue from the tax was expected to help fund several of PiS’s electoral pledges, including its flagship “500+” child benefits programme. (pk)

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