It is a preferential tax arrangement created for taxpayers engaged in research and development (R&D) activities.
The relief consists of preferential taxation of income from intellectual property rights (IP) that are legally protected and have been created, developed or improved as part of R&D activities. Examples of qualified IP include patents and copyrights to computer programs.
Benefits of IP Box relief
Income earned from qualified IP rights is taxed at a preferential rate of 5%. This means significant tax savings for companies that produce their own IP in Poland.
Who can benefit from the relief?
The IP Box relief is available to taxable entrepreneurs:
To qualify for IP Box relief, a company must conduct R&D activities whose results are protected by law, such as patents, utility models or copyrights in computer programs. The costs of R&D activities must be clearly separated in accounting records, and the company should commercialize its IP through the sale of intellectual property rights or licensing. The IP Box allowance provides significant support for companies investing in innovation, allowing them to significantly reduce the tax costs associated with commercializing R&D results.
