Autor/ka:
Agnieszka Maszewska

Media without Choice. Statement of the Management Board of Jet Line Sp. Z O.O. Sp K. Regarding the Planned Advertising Revenue Fee.

media bez wyboru

We protest against the government's plans to impose another tax on advertising companies
and present the perspective of a small advertising company.

We are not "the headquarters of an international company “, we are not "the richest company in the world, whose valuations reach one trillion dollars, or even two trillion dollars”. We are a small, family-owned, excellently managed company, for which a 7.5% additional tax means taking away all of the profit that has so far been allocated to development and investments. The Ministry of Finance argues that this is a fee from digital giants and media corporations.
That's not true. Small and medium-sized enterprises will be burdened disproportionately to the scale of their revenues and profits.
The Ministry also claims that similar solutions function in other countries. This is also untrue. Outdoor advertising is subject to such taxation only in Austria.

Who are We

Jet Line was founded in Warsaw in 1994. From a one-person business, it has grown into a company with nationwide reach. It permanently employs nearly 40 people, collaborates with over a hundred subcontractors throughout Poland and dozens of companies - service providers. For 26 years, it has continuously paid taxes in Poland. It employs people on employment contracts, rarely in the B2B system. It engages in social, cultural, and charitable activities. For eight years, it has been running the self-funded Explorers' Voyage Foundation and helps young people who need it to stay on the right course. It is a stable, trusted partner that has been running advertising campaigns for companies of all industries and sizes operating in Poland for years: small family businesses and large corporations.

We are a Service Company

We are a service company and our business is inextricably linked to the economic situation and condition of other companies that want and can communicate their products and services on outdoor media. The pandemic has halted many processes. It caused about a 40% drop in revenue in outdoor advertising. At the beginning of this year, together with companies associated in the Chamber of Commerce for Outdoor Advertising, we approached the government for sectoral assistance. The request was rejected. We did not expect that in a very difficult situation, instead of help, an idea for such a severe tax would be presented.

Between mid-March and mid-May, we broadcast almost 50 different spots on our media as part of dozens of aid campaigns. Almost every day, new spots appeared on the screens. All pro bono.

We Don't Need to be Convinced about the Negative Effects of the Pandemic

We feel the negative effects of the pandemic every day. They determined our activities last year, verified our employment and investment plans. Waiting for the new year, we were waiting - like everyone else - for new perspectives, orders and contracts, campaigns, rebuilding and development. Meanwhile, the proposed provisions affect companies like ours the most.

Outdoor and cinemas are specific media. They don't create information - they distribute it. They are a communication tool, not a broadcaster. They make their space available to others, not particularly worrying about the editorial line, because there isn't one. At Jet Line, we consider this a great advantage. We are a democratic medium, and as long as the message does not violate the law and good customs, its appearance in the space does not depend on other factors. All political parties advertise on OOH.

In the world of selling and buying advertising campaigns, as in any industry, there are many nuances. One of the key ones is that OOH is both a mass and niche medium. It is not television, radio, or the internet - media perceived as most desirable by advertisers. Meanwhile, outdoor advertising has been treated most severely in the project, on par with television and radio.

We Have the Impression that the Government is not Aware of the Real Consequences of this Decision

We cannot understand why the government is interested in blocking the development of Polish small and medium-sized companies. For a company like ours, a turnover tax of 7.5% will be deadly. In reality, this means halting development, designing and implementing innovations, and employment growth.

Taxes in our business are not new - we have been paying them, very high ones, for years.
We oppose the manipulation of arguments. We oppose the absolute lack of understanding of the real situation of small, Polish companies.
We oppose double taxation and putting us as a medium in an even weaker position in competing with global players.