Research and development (R & D) acts and tax reliefs

From the beginning of the year 2018 in Polish law there is a very interesting tax relief connected with  research and development (R&D) acts. Thanks to the relief, companies are allowed to deduct from  the tax base the sum of costs related to getting an income borne on research and development acts. The definition of R&D acts is very wide and includes a lot of activities which are being conducted in every single firm and that is why the new regulation can be used in most of companies. The entities which are interested in the abovementioned solution should, of course, undertake some creative actions, not only these which are connected with a daily routine. They should be made to increase knowledge resources and using it to create new applications in the company.

In the group of costs connected with R&D acts can be included, for example employees’ remunerations and public insurance costs, remunerations from other agreements, like commissions, costs of buying some specific equipment which can be used only for R&D, but which is not an asset of the company, like laboratory utensils and accessories as well as measuring devices.

The regulation was present in Polish law before, but from the beginning of 2018 the maximum deduction rate is 100% of the costs which are borne on R&D acts, thanks to which the relief is so encouraging.

Our law firm helps its clients in creating appropriate procedures and finding the path to use the tax relief in a proper way.

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