Tax relief in CIT – sponsorship of cultural events, sport as well as science and higher education

The Polish Order provides for a tax relief for corporate income taxpayers taking on activities connected with sponsorship in the area of culture, sport, science and  higher education. The deduction from income is at the level of 50% of eligible costs:

• In the case of a tax relief for sports activity the deduction will concern costs incurred while financing a sports club (e.g. for the purchase of sports equipment), athletic scholarship or sports event which is not a mass sports event.
• Whereas a tax relief for cultural activity allows the deduction of costs incurred in connection with creation, dissemination and protection of culture. The deduction will concern costs incurred for the benefit of cultural institutions entered in the register and, also, the financing of cultural activity delivered by artistic institutions of higher education and state-owned artistic schools.
• Whereas in the case of a tax relief for an activity supporting higher education and science, the deduction will concern, among others, costs incurred in connection with student scholarships for good results in studying, scientific scholarships for Ph.D. students, costs connected with employee’s post-graduate studies and other forms of education, costs of student remuneration taking practices in work establishments.  

It is necessary to add here that a sponsorship activity is not the same as making a donation.