Zero VAT on books, newspapers, and magazines to be an opportunity to promote reading

"Reducing the VAT rate on books, newspapers, and magazines to zero could be an opportunity to increase readership and the availability of certain publications. But it is primarily a chance to improve the financial situation of publishers and keep them on the market," Marek Frąckowiak, president of the Chamber of Press Publishers (IWP), stressed.

The European Union already enacted legislation in April this year that gives the government this option. Its introduction would cost the state budget approx. PLN 200 million, but, as the IWP points out, the financial consequences of not supporting the industry could turn out to be much higher.

"The Chamber of Press Publishers, together with the Polish Book Chamber (PIK), has been striving for many years to reduce the VAT rate on books and newspapers. Several years ago, we succeeded in achieving an equalization of the basic VAT rate for newspapers to 8 percent, while it used to be 23 percent, and for books to 5 percent. In our opinion, this tax should be zero," Marek Frąckowiak added.

The VAT rate for newspapers and magazines (in print and digital editions) is currently 8 percent, and for local and regional magazines it is 5 percent, which is the same as the VAT on books. However, in 2020, due to the COVID-19 pandemic, the Chamber of Press Publishers requested that the government reduce the rate to zero, justifying it on the grounds of the difficult, pandemic situation that has affected the entire industry.

(Newseria)