Poland: Tax incentive for Polish shipyards | KPMG Global
Share with your friends

Poland: EC opens investigation of tax incentive for Polish shipyards

Poland: Tax incentive for Polish shipyards

The European Commission today announced the opening of an investigation into a Polish tax incentive for shipyards. The incentive allows shipyards operating in Poland an option to pay a 1% flat-rate tax on sales from the building and conversion of ships, instead of paying the generally applicable corporate income tax rate of 19% or the applicable individual (personal) income tax rate of 18%, 19% or 32%.


Related content

According to an EC release, there are concerns that the flat-rate sales tax constitutes “operating aid” and uses public funds to relieve shipyards from costs they would otherwise incur in their day-to-day activities. Operating aid generally is not allowed under EU state aid rules. The EC has concerns that the aid would harm shipyards in the EU that would not be eligible under the Polish tax incentive. Thus, the EC will investigate to determine whether its initial concerns are confirmed.

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us


Request for proposal