Investment relief of up to a maximum of 20% (40% if the export criteria are met) of taxable income, is available in respect of expenditure incurred on the purchase of most types of machinery and equipment, including for example:
- modes of transport (excluding passenger cars);
- licences, patents, know how rights;
- purchases of state owned enterprises or integrated parts thereof.
Certain conditions must be met in order to qualify for the relief, for instance the company must either:
- achieve a profit rate of 8% (4% for the construction and food processing industries); or
- export 50% plus of its turnover; or
- earn income from exporting in excess of 8,000,000 ECU; or
- incur pre-trading investment expenditure of 2,000,000 ECU or more.
Tax laws and practise are constantly being revised and, whilst every effort is made to ensure that the information in this tax newsletter is accurate and timely, no decision should be taken on the basis of the information herein without first consulting with KPMG Polska.
Should you have any questions in relation to the above issues, please contact:
Oliver Sinton KPMG Polska LIM Center - Marriott Hotel - IX floor Al. Jerozolimskie 65/79 00-697 Warsaw, Poland Tel: +48 (22) 630 7236 Fax: +48 (22) 8300 796
This information was correct as of 18 April 1996.
