The General Court of the European Union issued a judgment finding that the European Commission incorrectly classified the Polish tax on the retail sector as illegal state aid.
The General Court annulled the EC’s decision about the Polish tax. The case is: Poland v. Commission, T-836/16 and T-624/17 (16 May 2019)
As noted in a release [PDF 172 KB] from the General Court, the tax of the retail sector in Poland (effective in 2016) imposed a tax on all retailers regardless of their legal status. The tax was based on the turnover of the companies concerned and was progressive in nature.
The EC initiated a procedure concerning this tax and eventually concluded that the tax was state aid. The Polish government had suspended application of the tax pursuant to a request of the EC.
The General Court, however, determined that the EC incorrectly classified the tax as state aid.
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