Preferences for entrepreneurs wishing to start business activity in Elbląg

I. Formal and legal facilities in obtaining administrative decisions required to carry out investments:
– decision on terms of construction and development
– building permit

II. Entrepreneurs' exemptions from real estate tax in the territory of Elbląg arising from the local laws passed by the City Council.

1. The real estate tax exemptions in 2004 apply to land, buildings, and structures being in possession of:
- entities beginning new business activity in the present year,
- the unemployed registered in the present year with the District Employment Office regardless whether they start business activity for the first time.
The incentive also applies to property acquired by en entity in order to extend the business activity performed. The incentive obtained in the 2003 tax year applies for a period of full 12 months (the exemption does not cover real estate purchased for fuel stations, banking activity, and trade on a surface of over 1000 m2).
Exemptions will also be offered to investors in the years to come.
2. Exemptions from the real estate tax for the periods of: 5 or 10 years apply to land, buildings and structures used for running business activity being in possession of entrepreneurs in the following cases:
- acquisition of the title, perpetual usufruct right, or lease of undeveloped land for the purposes of business activity being performed, for a period of over 10 years,
- erection of a building on that land, to be used for the business activity being performed,
- hiring a required number of employees,
The same preferences were foreseen also for buildings and structures acquired in bankruptcy or liquidation procedures.

3. Exemption from the fee on application to make an entry into the business activity record. The exemption from that fee applies to all business persons beginning the activity for the first time.

III. Preferences related to beginning activity in the Warmian and Mazurian Special Economic Zone – Sub-zone Elbląg.

Warmian and Mazurian Special Economic Zone – Sub-zone Elbląg was established by Ordinance of the Board of Ministers dated 28 August 2001. At the moment, the Sub-zone covers an area of 18.8678 ha, situated between Mazurska street and the Elbląg river; at the railroad connecting Elbląg and Braniewo. The Warmian and Mazurian Special Economic Zone offers public assistance to investors in the form of income tax exemption. The forms of assistance include, alternatively:
- assistance on account of investments – income tax exemption up to 50 % of investment expenses borne in the area of the zone (65 % for small and medium enterprises – except for those which run business activity in the transport sector),
- assistance on account of employment - income tax exemption up to 50 % of biannual labor costs of newly created jobs in the area of the zone (65 % for small and medium enterprises – except for those which run business activity in the transport sector).
For the motorization sector, the maximum assistance intensity is 30 %. The investor operating in the Zone and using public assistance should:
- obtain a permit for running business activity in the zone,
- bear investment expenses of no less than EUR 100,000,
- run business activity in the Zone for a period of at least 5 years,
- maintain the jobs created for a period of at least 5 years.

Detailed information concerning incentives and preferences related to the activity in the Zone is available at the website www.wmsse.com.pl