25th April 2012

Senate: amendments to Investments Incentives Act passed

The Senate passed amendments to the Investments Incentives Act that was prepared by the Ministry of Industry and Trade. Investments incentives treated under the current Act are subsidized by the European operation programme for entrepreneurship and innovations (OPPI). The entrepreneurs could ask for financial support for any activities concerning the process or product innovation. The new system of incentives does not intend any direct financial support. The Bill stipulates for instance possibilities for entrepreneurs and firms to apply income tax abatement, financial support for enlarging the production and employment. The Bill also intends the support to any commercial activity without the necessity of innovations. The Bill does not require any further state budget costs; meanwhile, it may lower the state budget incomes by tax abatement.
Source: explanatory report of the Bill (available at the Chamber of Deputies sites). For further information concerning the legislative process, click here.

Members of the American Chamber of Commerce in the Czech Republic