Business in brief

31st July 2009

Starting in 2010, Polish drivers who use their cars for business purposes will no longer be able to deduct VAT from their petrol bill.

The European Court of Justice has ruled that the tax deduction violates EU law. The government will bring in an additional PLN 1.3 bln from the rule change. 

Thanks to a German government program to pay drivers up to EUR 2,500 to trade in older cars for new ones, Polish automobile showrooms and factories are finding it hard to keep up with demand. The drop in the zloty's value this year has drawn Germans shopping for new cars to Poland, with the locally-made Fiat 500 among the most popular models. In the first half of 2009, auto sales in Poland rose 28 per ...