Poland to gain PLN 630 mln from retail tax in 2016

Poland will receive PLN 630.2 million gross and PLN 510 million net from a retail tax, if the levy comes into force in August, the Ministry of Finance announced. On May 24, the ministry expected that the retail tax will be introduced as of July 1. In that case, Poland would receive PLN 787.7 million gross and PLN 638.1 million net. After many weeks of working on the final shape of the retail tax, the Ministry of Finance has opted for two rates of 0.8 percent for turnover between PLN 17 and PLN 70 million and 1.4 percent for turnover above PLN 170 million, with PLN 17 million tax-free turnover.  A draft bill will be sent to the standing committee of the council of ministers, the Polish Press Agency said. The tax won't be levied on retail sale of: 1) natural gas and water supplied to households, 2) coal and other solid fuels, 3) other gas hydrocarbons used for heating, 4) oil used for heating, 5) reimbursed drugs and food for medical purposes, 6) meals served in restaurants. The Finance Ministry said that online trade will also be excluded from the new tax.