BRATISLAVA, February 7, (WEBNOVINY) – The state should support investment plans of both local and foreign enterprises particularly by granting tax allowances. The Economy Ministry proposed in a draft revision to the law on investment stimuli to extend the period of eligibility to tax allowances for beneficiaries of investment stimuli from five years to ten years. “We also suggest preserving the duty to deduct tax loss during the period of eligibility to tax allowance,” said the ministry.
According to the Economy Ministry, the state will provide subsidies for the purchase of long-term movable and immovable assets only in extraordinary cases, for projects of strategic importance. In districts where the unemployment rate is lower than the average in Slovakia, investment aid in the form of subsidies for the purchase of long-term movable and immovable assets and subsidies for formation of new jobs will not be provided for projects within industrial manufacturing, the ministry specified.
The Economy Ministry wants to enable small and medium-sized companies drawing investment stimuli, too. The minimum investment volume should thus be halved. With the aim to support establishing technology centers, the minimum volume for the purchase of assets should be reduced to EUR 500,000. In the case of establishment of centers of strategic services, the minimum volume for the purchase of movable or immovable assets should be reduced to EUR 400,000.
The biggest investment stimuli are to be provided to the companies planning to invest in underdeveloped Slovak regions in production with a higher added value. The amended law is to take effect on June 1 of this year, according to the ministry’s proposal.
SITA
