Lower VAT for the beauty industry – draft already in March

As of April 1, the VAT rate for beauty services will be reduced from 23 to 8 percent. The list of legislative works published by the Finance Ministry includes a draft regulation on reduced VAT rates.

The draft is already in March and the VAT reduction for beauty entrepreneurs – as announced – from April 1, 2024.

Which products have been reduced VAT rates for 2024.

A regulation will be issued in March 2024, introducing a reduced VAT rate to 8% for the beauty industry. The Finance Ministry has included the draft regulation on reduced VAT rates in the MF’s list of legislative works published yesterday.

The purpose of the proposed regulation is to reduce – from 23 percent to 8 percent.

VAT rate for certain cosmetic services from April 1, 2024.

The proposed regulation expands the current range of reduced VAT rates by adding certain services that fall under the so-called “beauty” sector from April 1, 2024 to the catalogue of services subject to the percent rate in Poland (including, but not limited to, hairdressing services).
In January, Prime Minister Donald Tusk announced that on April 1, 2024, the decision to reduce VAT for the so-called “beauty” sector would come into effect. The Prime Minister recalled that the reduction of VAT on beauty industry services was his election campaign pledge.

Currently, the VAT rate for beauty services is 23 percent.

Source: List of legislative works of the Minister of Finance as of February 19, 2024.
Source: INFORLEX Companies and accounting offices publication in the INFORLEX series.
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