Special economic zones

An entrepreneur's activity as an investor in a special economic zone allows him or her to obtain tax relief on personal income tax (PIT) or corporate income tax (CIT). In principle, the maximum amount of this aid depends on the status of the entrepreneur in question (SME or large entrepreneur) and the location of the planned investment. It is also necessary to meet a number of conditions, including the expenditure of legally prescribed minimum amounts on the venture, an increase in employment and the fulfilment of additional qualitative prerequisites, such as those related to production principles, research and development activities or employee care.   

In turn, the basis for the use of tax benefits is currently the obtaining of a so-called support decision by the entrepreneur. In the legal state in force before 30 June 2018, on the other hand, a zone entrepreneur had to hold a so-called zone permit. Both instruments remain in legal circulation. 

It must be remembered that not only rights, but also obligations are associated with the zone decisions held. The fulfilment of the conditions arising from them, especially in a post-pandemic reality, can be difficult, and this is necessary in order to benefit from the zonal permit or support decision. Failure to comply with the conditions of the zone decision results in the inability to achieve the aforementioned tax benefits, but may also result in the payment of unpaid income tax with interest. Importantly, in some cases, violation of zone decisions may even result in an obligation to repay support that was actually never obtained by the entrepreneur, and the amounts may reach millions of PLN. 

The law firm supports entrepreneurs at every stage of his zone activity. In particular:

• we verify the status of the entrepreneur and the conditions of his/her planned investment in terms of the possibility of applying for a decision on support;
• we advise on how to modify the planned investment in order to obtain a decision on support;
• we check the suitability of the subsequent support decision in the actual and legal situation of the entrepreneur in question;
• we support in the preparation of the application for a decision on support together with the accompanying documents;
• we act as a proxy for the entrepreneur at the stage of obtaining the support decision;
• we provide support during the implementation of zone decisions, including during the relevant inspections;
• we provide on-going support in contacts with the relevant units of the SEZ managing entities;
• we represent entrepreneurs in all matters related to zone decisions, including their expiration, modification or revocation. 
• we perform AUDITS of the zone decisions held by the entrepreneur, as part of which: 
  • we check the conditions of the decision against the actual situation of the entrepreneur;
  • we assess risks related to potential violations of the zone decisions;
  • we advise on how to avoid the risk of a refund and propose possible solutions;
  • we prepare appropriate motions to the Minister of Development and Technology and represent in proceedings aimed at amending the zone decisions in such a way as to eliminate the risk of payment on the part of the entrepreneur.