The entire Poland as Special Economic Zone - the latest report

The entire Poland as Special Economic Zone - the latest report

Warsaw, December 6, 2018

Adopted in May this year, the act on supporting new investments has a chance to stimulate the innovativeness of companies and encourage domestic and foreign investors to invest in Poland. The area in which companies can obtain tax reliefs has covered almost 100% of investment areas in Poland. This is a fundamental change in relation to the previous regulations. Experts from Colliers International, EY and the Polish Investment and Trade Agency looked at the new law in their report entitled "Polish Investment Zone. Legal and Organizational Changes".

- Investors operating in Special Economic Zones could benefit from preferential business conditions, in particular from income tax exemptions, provided that their investments were located in a location covered by the SEZ status. Territorially, however, it was a very small area covering only 0.08% of Poland's territory. This was a significant constraint for investors who could not take advantage of support for investments in their chosen locations. Some of them searched again for a place for investments, some stopped projects - says Łukasz Pańczyk, Senior Associate in Industrial and Logistics Agency, Colliers International.

According to the experts, the new act also improves Poland's position in competition for foreign investments in the region. Our main competitors in the race for investment projects, i.e. the Czech Republic, Slovakia and Hungary, apply an incentive for foreign investors in the form of income tax exemption throughout the country, excluding the most developed areas around the capitals.

- The assumptions of the Polish Investment Zone are favourable to building a competitive investment offer by Poland on the map of Europe. In particular, the quality criteria of the new instrument encourage investors to implement projects that create high-wage jobs, export sales and cooperate with research and development units. This solution allows PAIH to attract such investments that will ensure Poland's long-term growth and economic development - says Tomasz Pisula, President of the Polish Investment and Trade Agency.

Click to download our latest report "Polish Investment Zone. Legal and Organizational Changes".