Poland's foot dragging on reducing VAT on citrus fruit trying EU's patience
patience
The European Union (EU) is urging Poland to fulfill its pledge of three
years ago to reduce value-added tax (VAT) on citrus fruits to the same
level it levies on locally produced apples (3%). Poland made the promise
in 1997 when Spain threatened to block a crucial EU-Poland meeting. Poland
was forced to agree to trim the VAT from 22% to 7%. According to EU
negotiators, at the ongoing negotiations on agricultural policy, Poland
further promised to unify the taxes on all fruits, both imported and
locally produced. Polish negotiators however, assert the EU side has
misinterpreted comments by former Foreign Minister Dariusz Rosati.
Unofficial sources in Brussels suggest EU patience is about to expire and
this could mean an impasse in the Polish-EU talks on agricultural
liberalization. (Gazeta Wyborcza, page 25)