Poland Reduces Value Added Tax to Curb Inflation

By: The Quinnipiac University Economics Research Team, Jack Hangen

Poland's government has approved a package of measures designed to curb inflation which includes reducing the value-added tax on certain items. The value-added tax on fuel will be brought down to eight percent from 23 percent and brought down to zero percent from five percent for food. This package is no small measure as it will cost the government around PLN 20 billion or EUR 4.3 billion. This package will start on February 1, 2022 and will run for at least six months. This effort has strong support from both houses of parliament and Poland's president. These tax cuts are solely aimed at lowering Poland's growing inflation rate which is currently hovering around 8% (see InvestCEE by The Numbers)

This article is based upon: https://www.polskieradio.pl/395/7786/Artykul/2891387,Polish-president-OKs-new-tax-cuts