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Polish retail tax compatible with EU laws, CJEU spokesperson says

October 15th, 2020

The Polish tax on retail sales and the Hungarian tax on advertising do not infringe upon EU laws with regard to state aid, advocate general for the Court of Justice of the European Union (CJEU) Juliane Kokott said in an opinion issued on Thursday. Poland and Hungary have imposed progressive corporate taxes on revenue instead of profit, putting the main burden on companies with high sales. In 2016 and 2017, the European Commission (EC) declared both taxes incompatible with the EU's single market, arguing that they offer benefits to low-taxed small companies and thereby constitute state aid.


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