The remuneration obtained under the employment relationship may constitute a royalty to which 50 per cent tax deductible costs are applicable. However, a number of conditions have to be fulfilled so that the employer may use this solution. The conditions for application of increased employee costs, i.e., 50% tax-deductible costs on royalties, are regulated in Article 22, section 9, points 1-3, section 9a, 9aa and 9b of the PIT Act and presented in the general interpretation of the Minister of Finance of 15 September 2020 (DD3.8201.1.2018) - explains Renata Ryzak, tax consultant at Crowe, in a publication on the pages of Rzeczpospolita.
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