Under the Polish measure, companies operating in Poland in the retail sector would pay a monthly tax based on their turnover from retail sales. The tax features a progressive rate structure with three different brackets and rates. With this progressive tax rate structure, smaller companies would either pay no retail tax at all (if their turnover is below PLN 17 million) or face a lower average tax rate than larger competitors. This would give companies with a lower turnover an unfair economic advantage. Smaller companies should of course pay less tax than their larger competitors in absolute terms, but still in the same proportion to their turnover. Poland has not demonstrated that the progressivity of the retail tax was justified by the objective of the retail tax to raise revenues, or that companies subject to the higher rates would have a higher ability to pay. The decision requires Poland to remove the unjustified discrimination between companies under the retail tax and restore equal treatment in the market.