In order to partly fund 500+ and other policies, Poland’s PiS Government are to introduce a new tax on VOD and music streaming services.
There is every likelihood that the tax will result in monthly subscription increases to the likes of Netflix, HBO Go, Player +, Spotify, Tidal and others.
Yesterday Prime Minister Mateusz Morawiecki introduced his party’s 5 pre-election pledges, as well as his plans for funding them.
The five policy pledges are as follows:
- The 500+ child benefit scheme to apply to all children (currently families do not receive the benefit for their 1st child unless they have a low income)
- The abolition of income tax for everyone under 26
- A ‘thirteenth month’ for pensioners (in other words, a bonus one month pension payment per year)
- A ‘reduction in labour costs’
- Increased bus connections for villages and small towns
The Polish Government plan to fund the pledges via various means including better VAT and corporation tax collection, plus cost savings from increased digitisation in the public sector.
However, the Polish Government have also announced a “just tax” on the “profits generated by global companies in Poland offering digital services such as online advertising, VOD and streaming music.”
The government expect the aforementioned tax to bring in as much as one billion złoty to the public purse.