The Investment Directorate is another core directorate of the Ministry responsible for attracting inward investment especially in the non-energy sector and creating an enabling environment to retain such investment. The main objectives of the Directorate are to:
CORE UNITS OF INVESTMENT DIRECTORATE
The Investment Directorate comprises the following two units:
- the Investment Policy and Negotiating Unit
- the Investment Facilitation and Promotion Unit.
KEY FUNCTIONS OF THE INVESTMENT DIRECTORATE
The key functions of the Investment Facilitation and Promotion Unit is the Processing of Applications for Incentives. The Investment Directorate is responsible for processing applications for the following incentives:
Fiscal Incentives are benefits granted to large-scale manufacturers or processing enterprises and ICT service companies under the provisions of the Fiscal Incentives Act, Chapter 85:01 (as amended). Based upon the provisions of the Act, a Company can qualify for exemptions from; Value Added Tax, Customs Duty and Income Tax on dividends or other distribution, other than interest, out of profits or gains derived from the manufacture of the approved product during the tax holiday period.
IMPORT DUTY CONCESSIONS
Companies engaged in manufacturing and processing industries can apply for the grant of Import Duty Concessions which allows them to import their raw materials, machinery and equipment and in some cases packaging material free of import duties.
EXEMPTION FROM INCOME TAX
This incentive provides for tax exemption for letting or initial sale of newly constructed commercial buildings or multi-storey car parks This initiative was introduced in the Finance Bill of 2013 to encourage the construction of commercial buildings and multi-storey car parks.
APPROVED SMALL COMPANY STATUS
Approved Small Company Status is adesignation granted to a Limited Liability Company, allowing it to derive a tax relief for a period of five (5) years under the Corporation Tax Act, Chapter 75:02 (as amended), in the form of a tax credit.