R & D relief, i.e. R & D, is a tax write-off available to companies that deal with research and development in their business. We're looking at who can actually benefit from it, what are the costs that can be eligible for it and how to settle it.
R & D can be used by entities that carry out R & D in Poland. The condition is that the work carried out is development, not one-off. Under the definition of works, we understand the discovery of new technologies, expanding knowledge and finding new applications for various fields and inventions, as well as production technologies.
They don't have to be large units, their size doesn't matter. Nor do they have to cooperate with any scientific entity. The results of their research are also not important, it is important to serve development and to be sustainable. Moreover, the costs of research already started can also be settled.
Eligible costs
The Act sets out the costs that can be deducted under the R & D relief. These are
- the remuneration of employees in part related to R & D activities and related social security contributions;
- remuneration for contract or work contracts in part related to R & D activities and related social contributions;
- expenditure on acquisition of specialised equipment (which is not a permanent measure) and materials and raw materials which are directly related to R & D activities;
- expenditure on expertise, opinions, advisory services and equivalent services provided or performed under contract by entities referred to in the legislation on higher education and science, as well as their acquisition of the results of their research for R & D activities;
- expenditure on the remunerated use of research and research equipment used exclusively for R & D activities - if this does not result from a contract concluded with an entity affiliated with the taxpayer;
- expenditure on the acquisition of a service for the use of research equipment exclusively for R & D activities - if the purchase of the service does not result from a contract concluded with an entity affiliated with the taxpayer;
- the costs of obtaining and maintaining a patent, the protection rights of a utility model, the rights of registration of an industrial design, incurred on:
- preparation of application documentation and application to the Patent Office of the Republic of Poland or the relevant foreign body, including the costs of required translations into a foreign language,
- the conduct of proceedings by the Patent Office of the Republic of Poland or the relevant foreign body, incurred since notification to those authorities, in particular official fees and costs of legal and procedural representation,
- the rejection of allegations of non-compliance with the conditions required to obtain a patent, a protective right to a utility model or a right to register an industrial design both in the application procedure and after its completion, in particular the costs of legal and procedural representation, both in the Patent Office of the Republic of Poland and in the relevant foreign body,
- periodic fees, renewal fees, translations and other activities necessary for granting or maintaining the validity of a patent, utility model protection right and industrial design registration rights, in particular the costs of validating a European patent;
- depreciation credits on fixed assets and intangible assets used in R & D activities, excluding passenger cars and buildings, buildings and premises which are separate property (subject to R & D centres).
If you have the status of a research and development centre, you have the right to consider the eligible costs, under the terms of the Act, also:
- • depreciation deductions from structures, buildings and premises which are separate property and which are used in R & D operations;
- • the cost of expertise, advice to other entities.
The costs of research and development are shown in the statement in which you account for business revenue: PIT-36, PIT-36L, PIT-36S or PIT-36LS with Annex PIT/BR (deduction information).