Tax incentives
I. AT THE KOSZALIN SUBZONE OF SSEZ
A special economic zone in which attractive conditions for investments have been created, i.e. full real estate exemption based on the “de minimis” principle and income tax release up to 60% due to investment expenditures or job creation, will be operating until 31 December 2020.
The Municipal Council of Koszalin has fully exempt from real estate taxation the grounds, buildings and structures in the Zone area under the „de minimis” aid framework. The aid is being provided in accordance with the provisions defined in the Commission Regulations (EC) No 1998/2006 of 15 December 2006 concerning application of Art. 87 and Art. 88 The De Minimis Aid Treaty (Official Journal of Laws EU L 379/5 of 28.12.2006).
This allows the entrepreneurs possessing business licences to avail themselves of the above aid.
The real estate tax exemption cannot be awarded to any entrepreneur for whom the value of planned de minimis aid together with de minimis aid value already obtained in various forms and from various sources during three calendar years have exceeded the equivalent of Euro 200 000 gross and in the road transport sector – Euro 100 000 gross. Furthermore, such aid cannot be awarded to any entrepreneur who has already obtained any aid other than de minimis with relation to the same qualified costs as the planned de minimis aid and the total aid amount would cause exceeding of the allowable aid intensity.
The entrepreneurs running their businesses in the Koszalin Subzone are eligible, by way of the licence provided, for an exemption from the income tax due to investment outlays made (comprising, among other things, outlays for plant construction) or due to new jobs created.
According to the Ordinance by the Council of Ministers of 13 October 2006 concerning fixing of the regional aid map (Official Journal of Laws 06.190.1402) as of 2007 new values for the maximum regional aid intensity for the entrepreneurs have been fixed as follows:
- 40% for a big entrepreneur (employing over 250 persons);
- 50% for medium-sized entrepreneur (employing up to 250 persons);
- 60% for a small entrepreneur (up to 50 workers) and micro-entrepreneur (employing up to 10 persons).
II. AT OTHER LOCATIONS OF KOSZALIN MUNICIPALITY
To support those entrepreneurs who operate their businesses in City’s territory the Municipal Council has enacted an aid programme comprising real estate tax exemptions awarded by the Municipality of Koszalin within the regional investment aid framework. The resolution to that effect shall be effective until 31 December 2013; it’s been adjusted for amended Polish and European law provisions.
Four categories of real estate tax exemptions have been introduced for max. 3 years depending on the investment outlays made and number of new jobs created.
A condition precedent for an entrepreneur to avail himself of the regional aid is accomplishment of a new investment consisting in establishment of a new (or extension of the already existing) enterprise and creation of new jobs.
A requirement to become eligible for the aid is to report by the entrepreneur, before investment project commencement, to the tax authorities his intention to avail himself of the aid. The size of regional aid, contrary to de minimis aid, is not limited to any amount but it depends every time on the investment outlays made because it is determined through the maximum aid intensity being a proportion of the aid value to the qualified costs. This means that the higher the investment cost, the higher will be the regional aid that the entrepreneur may get.
The above-mentioned resolution has excluded any premises used for trading, gastronomic services and filling stations because those sectors have been well developing in Koszalin and they do not require any support from the Municipality.
