Tax Costs Related to Functioning of Selected Intangible Assets

This article presents selected issues from tax costs related to functioning of intellectual property rights. This topic is especially important in the era of economy based on knowledge. In the first part of the considerations the focus was set on showing the definition of the concept of intangible assets in both domestic and foreign literature, then the components of intellectual property rights and their amortization according to tax law were discussed. The tax law allows amortization of intangible assets. Most of the companies using intangible assets amortize trademarks. To start recognizing depreciation of costs, one needs to face a number of other requirements for the recording of intangible assets. The company must acquire non-tangible assets. They can not produce them on their own and later depreciate them, because the cost of depreciation of intangible assets could not be included in operating expenses. Conditions of depreciation of cost is the fact, that the intangible assets are owned by the company. They can not be a subject to a lease contrach. Entrepreneurs often use intangible assets to distinguish their activities from other companies. After detailed presentation of the issue of intangible assets, the conclusions from the analysis are presented.