Poland's budget to get at least PLN 1.5 bln a year from retail tax - minister
A January-introduced retail sales tax will bring the Polish state budget at least PLN 1.5 billion (EUR 320 million) in revenues a year, the Polish finance minister said on Thursday.
Tadeusz Kościński said the tax, recognised by the EU Court of Justice (CJEU) on Tuesday as compliant with EU public aid laws despite objections by the European Commission, would benefit domestic enterprise.
"The retail tax is to protect Polish enterprisers... who are fighting a losing battle with large retail chains," Kościński told public radio. "I think that PLN 1.5 billion will be the minimum," he said, referring to expected yearly revenues for the state coffers. The Polish state budget is expected to carry a PLN 82.3 billion deficit this year.
The Polish tax on retail sales does not infringe EU laws regarding state aid, the CJEU ruled on Tuesday and dismissed an appeal by the EC in the case.
The tax was originally introduced in 2016 but was suspended due to a legal action taken by the EC and reintroduced in 2021.
The EC recognised the tax as progressive and claimed it constitutes state aid that infringes EU law. In a May 16, 2019 ruling, the CJEU stated that the Commission's decision was void. On Tuesday, the court upheld its earlier ruling.
According to the law, the tax affects retailers with monthly revenue exceeding PLN 17 million (EUR 3.7 million). The lower rate of 0.8 percent tax would be applicable to monthly revenue in the PLN 17-170 million (EUR 3.7 - 37.0 million) bracket, and the higher 1.4 percent rate to revenue exceeding PLN 170 million per month.