Bartosz Pisarski, Marta Krykwińska
Puls Biznesu

The article discusses options for a company to deduct for tax purposes its depreciation expense on real estate (carried as tangible assets) to be provided to its workers for accommodation as a fringe benefit. In accordance with the tax tax ruling dated 13 January 2020 by the Director of National Tax Information (ref. 0111-KDIB1-1.4010.608.2019.1.BS), a company may deduct depreciation expense on real estate provided to its employees as accommodation near the company’s manufacturing site if this serves its business objectives, such as to hire and maintain an appropriate level of workforce for its business purposes or to reduce staff rotation and the related costs. Such cases meet the purposefulness test, i.e. these expenses will contribute to the company’s capacity to generate income or secure or preserve a source of income.