On the 24 September 2007 Prime Minister of the Republic of Poland signed the resolution which broadened Special Economic Zone Euro-Park Mielec and created the Subzone Lublin.

The main aim of creating Economic Subzone in Lublin was to speed up economic development of the city, reduce unemployment, as well as to increase the competiveness of innovative companies.

1. History

The subzone of Special Economic Zone Euro-Park Mielec was created in Lublin in September 2007. At that time the subzone territory covered an area of 70 hectares of “greenfield” land located in the southeast part of Lublin (in the vicinity of the planned Lublin ring road, Lublin Airport, and near the interchange of S17 route).

In June 2009 Lublin Subzone was extended by 10 hectares of private land, the use of which contributes to revitalizing the postindustrial part of the city. (former land of Daewoo factory)

On 15 March 2010, Council of Ministers regulation on extending Lublin Subzone by 37 hectares entered into force. The new land is located in the immediate vicinity of an existing subzone in Felin district.

2. Incentives

Investing in SEZ is very beneficial!

Entrepreneurs conducting business activity in the Subzone Lublin can obtain public assistance in the form of income tax exemptions. Public assistance, called regional aid, is granted due to expenditure on new investment and creation of new jobs.

Tax exemption due to expenditure on new investment or creation of new jobs amounts to:

- 50% of total investment expenditures for large entrepreneurs;
- 60% for medium-sized entrepreneurs;
- 70% for small entrepreneurs.

The investment expenditures within the Subzone which qualify for aid are:

- purchase of parcels - ownership or perpetual usufruct rights;
- purchasing or own fabrication of fixed assets;
- development and modernization of existing fixed assets;
- purchase of intangible assets associated with technological transfer through the acquirement of patents, licenses, know-how or technical knowledge.

How to calculate the amount of public aid:

Investment outlays (in PLN):
1. Parcel – 1 mln
2. Building – 10 mln
3. Other fixed assets – 3 mln
Total: 14 mln, public aid (50%): 7 mln

Conditions for obtaining public assistance:

- investment outlays – min. 100 000 EUR;
- own participation – min. 25%;
- conducting business activity for at least 5 years for large enterprises, 3 years by small and medium-sized enterprises
- large entrepreneurs must keep newly created jobs for a period of time no shorter than 5 years, for small and medium-sized enterprises 3 years
- sustaining fixed assets for at least 5 years for large enterprises, 3 years for small and medium-sized enterprises

3. Procedures:

Procedure for granting license for business activity in the Subzone LUBLIN covers:
- submission of application form with a detailed description of the investment project;
- participation in open tender announced by ARP S.A. (management of SEZ EURO-PARK MIELEC);
- submission of an offer in the bidding procedure;
- obtaining license for conducting business activity in SEZ EURO-PARK MIELEC in the Subzone LUBLIN.

Investors conducting business activity in the Subzone Lublin are granted income tax exemption until 31.12.2020.