Anti-inflation shield 2.0 – reduced VAT on food, fuels and energy

by Aleksandra Majnusz

19 February 2022

The government is working on the second version of the anti-inflation legislative package. The lower chamber of Polish parliament (Sejm) has passed the bill amending the Value Added Tax Act to temporarily reduce VAT rates on certain goods.

The bill temporarily reduces VAT rates on the following goods from 1 February 2022 to 31 July 2022:

• food products listed in items 1–18 of Annex 10 to the VAT Act – from 5% to 0%;
• engine fuels, i.e. diesel, biocomponents that constitute stand-alone fuels, petroleum, LPG – from 23% to 8%;
• fertilisers, plant protection products, topsoil and other products that support agricultural production (such as soil improvement agents, growth promoters and certain substrates) – from 8% to 0%;
• natural gas – from 8% to 0%;
• electricity and heat – from 8% to 5%.

If you have any questions about the anti-inflation shield 2.0, you are welcome to contact Rödl & Partner experts.