Poland to unveil digital tax plan targeting Big Tech

Poland is preparing to introduce a digital tax by the end of July, aiming to target foreign digital platforms operating within its market. The proposed tax is part of a broader European effort to ensure large tech companies contribute more significantly to national revenues.

The Polish Ministry of Digital Affairs has outlined that the digital tax could impose up to a 3% levy on the revenue of major companies providing specific digital services. Eligibility for the tax would be based on global revenues exceeding 1 billion euros and Polish revenues surpassing 25 million zloty, regardless of the companies' tax residency or headquarters. The tax would primarily affect firms that place personalized, targeted advertisements on digital interfaces, as well as those facilitating user interactions, goods delivery, or services through digital platforms like social media and online marketplaces. Companies selling user data would also be subject to the tax.

Belgium is also proceeding with a 3% digital services tax, which would cover revenue from online advertising and platforms enabling user interaction and e-commerce. The Belgian legislation was accepted for consideration in April and is expected to take effect in 2027.

However, the United States has voiced strong opposition to these digital taxes, with former President Donald Trump threatening 100% tariffs on imports from countries imposing such taxes on American firms. Under U.S. pressure, Turkey and Canada have made adjustments to their digital tax policies. Turkey reduced its digital tax rate, and Canada rescinded its digital services tax introduced in 2024.