Poland’s government wants to raise the annual revenue threshold for VAT exemption to PLN 200,000 from PLN 150,000 as part of its efforts to simplify and tighten the tax collection system, government press office said in a statement.
At its Tuesday sitting the cabinet approved a motion to the European Commission for a derogation which will enable the government raising the VAT-exempt income for entrepreneurs whose annual turnover does not exceed EUR 40,000 (PLN 200,000) from the current level of EUR 30,000 (PLN 150,000), the statement reads.
The Polish government expects that after introducing the solution, tax authorities “will be able to focus on companies with higher turnover, mainly in areas prone to tax fraud,” the press office said. “Such a solution supports tightening of the tax system.”
