New Regulation on Income-Tax Allowances for Investments within the Industrial Sector

The Ministry of Industry (“ Ministry ”) has issued Regulation No. 1 of 2018 on Criteria and/or Requirements for the Implementation and Utilization of Income-Tax Allowances for Investments in Certain Business Sectors and/or Areas within Industrial Sectors (“ Regulation 1/2018 ”).Regulation 1/2018 essentially serves as a set of guidelines for domestic taxpayers operating within the industrial sector (“ Taxpayers ”)as regards the securing of income-tax allowances for investments within certain business sectors and/or certain areas.Prior to the issuance of Regulation 1/2018, this matter was regulated under Ministry Regulation No. 48/M-IND/PER/5/2015 on the same matter (“ Regulation 48/2015 ”). Income-Tax Allowances General ConditionsIncome-tax allowances may be granted to Taxpayers for investments in certain business sectors and/or certain areas, on condition that the relevant investments: [1]