Tax relief for market expansion

The expansion tax credit is a tax preference that allows entrepreneurs to deduct from income tax expenses incurred on marketing and advertising to increase revenue from product sales.

With this relief, companies can significantly reduce the costs associated with marketing activities, which encourages their growth and expansion into new markets.

What does the expansion relief cover?

The expansion tax credit allows for the deduction from income tax of qualified expenses related to:

  • Marketing – expenses for marketing campaigns that promote products and increase their visibility in the market.
  • Advertising – the cost of advertising in various media, such as television, radio, Internet and newspapers, which are designed to increase product sales.
  • Product promotion – any promotional activities such as participation in trade fairs, organizing events or loyalty programs that support product sales.

Benefits of the expansion allowance

  • Cost deduction – entrepreneurs can deduct qualified costs related to marketing, advertising and product promotion up to PLN 1 million.
  • Tax savings – for CIT taxpayers, this relief means a savings of PLN 190,000 per year, which is a significant financial support for companies.
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With the expansion tax credit, companies can effectively increase their market reach, expand their business and strengthen their competitive position by investing in activities that promote their products and services.

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How to take advantage of the expansion tax credit?

In order to take advantage of the expansion tax credit, entrepreneurs must properly document the expenses incurred for marketing, advertising and product promotion. These expenses must be directly related to the company's business activities and aimed at increasing its sales revenue.