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EU competition regulators say Poland's retail tax is illegal
June 30, 2017 / 9:47 AM / 3 months ago

EU competition regulators say Poland's retail tax is illegal

BRUSSELS, June 30 (Reuters) - European Union state aid regulators on Friday said a Polish retail tax is illegal as it favoured smaller companies with lower turnover.

Under the scheme, which entered into force on Sept. 1 last year, companies operating in Poland’s retail sector were set to pay a monthly tax based on their turnover.

“With this progressive tax rate structure, smaller companies would either pay no retail tax at all or face a lower average tax rate than larger competitors,” the European Commission said in a statement.

The Commission opened an investigation into issue in September last year following a complaint.

As no taxes had been levied under the new rules, no repayment was necessary, the Commission, which acts as the competition supervisor in the European Union, said. (Reporting by Robert-Jan Bartunek; editing by Foo Yun Chee)

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