A beneficial change for entrepreneurs. From January 1, 2025
Entrepreneurs who employ soldiers serving in the Territorial Defense Forces and the active reserve will benefit from new tax breaks.
The new regulations are to enter into force on November 12, 2024, and entrepreneurs will benefit from the reliefs from January 1, 2025. The aim of the changes is to support the labor market and encourage the employment of reserve soldiers, thanks to new tax preferences and special benefits for soldiers.
Tax relief for employers
Employers employing WOT and active reserve soldiers will be able to deduct from the tax base an amount ranging from PLN 12,000 to PLN 24,000 per employee, depending on the length of military service. For example:
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PLN 12,000 for soldiers serving at least one year,
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PLN 15,000 for two years of service,
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PLN 18,000 for three years of service
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PLN 21,000 for four years of service
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PLN 24,000 for five years of service.
The preference applies to every soldier employed under an employment contract, provided that the employer covers expenses corresponding to at least the minimum wage. Entrepreneurs who are micro or small entrepreneurs can increase the relief by 50%, while others can count on an increase by 20%. with at least five full-time employees.
Initial benefit in lieu of severance pay
Instead of the current severance pay, soldiers will receive a one-off initial benefit, constituting 50 percent. average salary for the second quarter of the previous year. It is available after completing the training and also covers people on civil law contracts, students, apprentices and those running a business.
Preferences in public procurement
The new regulations make it possible to include the employment of soldiers as a criterion in public tenders, especially for contracts with a value below the EU thresholds. The Minister of National Defense will designate organizations obliged to apply this criterion, and its minimum weight will be 10%.
