Poland Proposes Royalty Tax on Gas, Oil

by: energytribune Posted date: October 16, 2012 In: Headlines

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By Marynia Kruk

WARSAW–Poland’s government proposed a new tax structure for its oil and gas sector Tuesday, which will be based on both the value of a given company’s production volumes and its profits, with the total tax burden reaching 40% of gross profits.

The framework has been keenly awaited by Poland’s embryonic shale gas sector. Many companies slowed down work on drilling test wells this year in anticipation of clarification on their future tax burden.