State aid: Commission opens in-depth investigation into Poland’s tax on the retail sector

On the 19 September 2016, the European Commission opened an in-depth investigation into a Polish tax on the retail sector. The issue in question in this case is, whether the progressive rates based on turnover give companies with a low turnover a selective advantage over their competitors. Because of that, the European Commission issued also an injunction, requiring Poland to suspend the application of the tax until the assessment is concluded.

The European Commission had adopted a similar decision in July 2016 on a progressive turnover-based tax on the retail sector in Hungary. The Hungarian tax had been found to be in breach of EU state aid rules because it had granted a selective advantage to companies with low turnover over their competitors.

• Primary Source

Radio Poland, 19.09.16: EU launches probe into new Polish retail tax http://thenews.pl/1/12/Artykul/271602,EU-launches-probe-into-new-Polish-retail-tax

EUObserver, 20.09.16: Commission targets Poland's supermarket tax https://euobserver.com/economic/135153

Radio Poland, 20.09.16: Poland plans new supermarket tax after EU red light http://www.thenews.pl/1/12/Artykul/271810,Poland-plans-new-supermarket-tax-after-EU-red-light

Euro|Topics: Debates, September 2016: Brussels calls a halt to Polish supermarket tax http://www.eurotopics.net/en/166427/brussels-calls-a-halt-to-polish-supermarket-tax

ESO: Background information: Poland at odds over child benefits http://www.europeansources.info/record/poland-at-odds-over-child-benefits/

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