Research and development is of key importance in achieving a competitive advantage. Increasingly often, national economies recognize the important role of highly innovative companies and introduce a range of tax incentives and subsidy schemes. They usually take the form of tax reliefs, deductions or cash grants.
In some jurisdictions, the relief takes the form of reduced income tax rates with respect to technology based intellectual property (IP).
2020 Global R&D Guide is a uniform overview of key business benefits and incentives for research and development within different jurisdictions, developed by member companies of the Baker Tilly and TPA Poland network. It presents a range of tax planning instruments available in different countries to support and maximize the return on R&D investment.
R&D in Poland is defined as creative activity including research and development works, systematically undertaken in order to increase knowledge resources and use them to create new applications. The right to apply an R&D tax incentive is independent of the results of the conducted R&D works. R&D tax incentive may be used by entities operating in all industries, but in particular it will be used by companies providing innovative services (IT, including start-ups) or developing innovative products (pharmaceutical, technological, automotive, chemical and other industries).
The reliefs and incentives listed in this document may be subject to additional specific conditions, which should be examined in each case before a decision is taken to apply them. Please contact our tax and accounting advisors who will help you, among other things, to select the best R&D solutions for your company, as well as to assess the effects of applying them, such as withholding taxes, available subsidies for job creation and reduction of corporate tax rates in case of granting licenses for the use of intellectual property.