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Poland Eliminates VAT On Aid To Ukraine

By Matthew Guerry · 2022-03-07 16:25:21 -0500 ·

Poland slashed the value-added tax rate to zero on goods and services donated to entities assisting victims of the war in Ukraine, according to a government news release.

The temporary regulation issued Friday is retroactive, according to the release, applying from Feb. 24, when Russia began its invasion of Ukraine, and tentatively expiring in June. Polish finance minister Artur Soboń said in a statement that the deadline could be extended.

The temporary VAT rate of 0% "is a tribute to those citizens of our country who are not indifferent to the needs of people affected by hostilities in Ukraine," Soboń said. Poland said it would leave open the scope of aid eligible for the waived rate and that the rate would apply to donations made to the Polish Strategic Reserves Agency, medical organizations and local units of government.

Taxpayers and entities that wish to donate have to provide written agreements to qualify, according to the news release.

--Editing by Roy LeBlanc.

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