WB6 IIP
Western Balkans Six
Investment Incentives Platform
The Western Balkans Six Investment Incentive Platform is the first of its kind in the region, providing detailed information on available incentives in each of the WB6. It is one of the key measures under the Regional Investment Area, which is part of the Common Regional Market Action Plan 2021-2024.
Developed with input from Investment Promotion Agencies (IPAs) across the region, the platform includes both financial and non-financial incentives, categorized by type, sector, and target audience.
It provides comprehensive information for investors looking to invest in the WB6. As an evolving resource, the platform will be updated every six months to ensure it remains current and relevant.
Technological Industrial Development Zones (TIDZ) CIT exemption
- Economy name
- North Macedonia
- ID
- N1
- Incentive name
- Technological Industrial Development Zones (TIDZ) CIT exemption
- Brief description
-
Exemption of corporate income tax (CIT) for a period of ten years as of the day of starting the performance of the business activity in the zone
- Legal reference name
- Law on Technological Development Zones. “Official Gazette of Macedonia” 14/07, 103/08, 130/08, 139/09 156/10,127/12,41/14,160/14,72/15,129/15,173/15,192/15,217/15,30/16 and 83/18
- Legal reference
law section / article -
Article 5
1) Profit tax for a period of ten years as of the day of starting the performance of the business activity in the zone within two years the latest after the year in which the decision on operation commencement has been granted, under the conditions determined by this Law; and profit tax for a period of ten years as of the day of receipt of:
- the decision on operation commencement regarding expansion of the capacity of the existing enterprise or;
- the decision on operation commencement in the case of diversification of the production of the enterprise by introduction of new, additional products or;
- the decision on operation commencement in the case of fundamental change in the overall production process of the existing enterprise.
(State Aid scheme element.)
- Incentive group
- Financial
- Incentive category
- Corporate Income tax (CIT)
- Economy-wide/Sector-specific
- Sector-specific
- Sector (Simplified)
- Manufacturing
- Sector (NACE)
- C MANUFACTURING
- Size of firm that can use incentive
- All sizes of firms
- Level at which incentive is available
- Economy-wide
- Ownership of firm that can use incentive
- Any
- Incentive location
- Free economic zone
- Main objective of the incentive
- Job creation
- In case of grant, share of grant in investment (in %)
- 0,2
- Contact Info
-
Directorate for the Technological Industrial Development Zones
Address
Partizanski odredi 2 Blvd., P.O.Box 311
1000 Skopje
North Macedonia
Contact
Telephone: +389 (0)2 311 11 66
info@fez.gov.mk
- Weblink to Incentive information in English
- Weblink to Incentive information in local language
- Eligibility criteria
description -
Article 9
(1) The user of the zone carrying out productive investments shall exercise the tax exemptions and reliefs if it:
1) performs a new business activity, but does not transfer the activity from another area of North Macedonia into the zone;
2) does not have tax or customs arrears, and
3) is not under a bankruptcy procedure.
- Eligibility criteria
weblink
- Awarding Authority (Name)
- Directorate for the Technological Industrial Development Zones
- Application procedure + Weblink (where available)
-
Article 9
(2) For the purpose of exercising the tax exemptions and reliefs referred to in Article 5 of this Law, the user of the zone shall submit a tax request to the competent tax body through the Directorate for Technological Industrial Development Zones until 31 March of the following year.
(3) In accordance with paragraph (2) of this Article, the user of the zone shall be obliged to attach the following to the tax request:
1) a contract on performance of a business activity with the founder of the zone;
2) a decision referred to in Article 33 paragraph (3) and paragraph (5) of this Law;
3) a certificate by the founder of the zone that it does not have due, but unsettled liabilities in accordance with the tariff for fees for rendered services of the founder and the tariff for fees for rendered services of the user
4) the annual account and tax balance sheet for the previous year, in addition to the form SRA - Structure of Revenues by Activities;
5) proof from the Central Register on its current solvency, not older than 6 months;
6) certificate issued by a competent body that the user of the zone has no outstanding tax and customs liabilities, and
7) certificate issued by a competent court and the Central Register that the user of the zone is not under a bankruptcy or liquidation procedure.
8) a decision issued by the the Agency for Foreign Investments and Export Promotion of North Macedonia or the Directorate for Technological Industrial Development Zones or the ministers without portfolio in charge of attraction of foreign investments.." in accordance with Article 8-a paragraph 6 of this Law.
(4) On the basis of the decision on compatibility of the granted state aid by the Commission for Protection of Competition, in accordance with this Law, the tax authority shall adopt a decision on tax relief on the basis of the decision referred to in Article 8-a paragraph 6 submitted by the Agency for Foreign Investments and Export Promotion of North Macedonia or the Directorate for Technological Industrial Development Zones or the ministers without portfolio in charge of attraction of foreign investments. where it is determined: the percentage of the participation of the justified investment costs for each productive initial investment in the total amount of the justified investment costs for all productive initial investments, the period spent using state aid in a form of exemption from the obligation for paying the determined profit tax, as well as the percentage of used state aid for each productive initial investment.
The decision referred to in paragraph 4 of this Article shall be submitted to the tax authority until 31 March in the current year at the latest.
(5) The evidence referred to in paragraph (3) points 1, 2 and 5 of this Article shall be submitted within a period of 15 days upon receipt of the decision on commencement of operation by the Directorate for Technological Industrial Development Zones, that is, the decision on commencement of operation on the expansion of the capacity of the existing enterprise or as of the day of receipt of the decision on commencement of operation in the case of diversification of the production of the enterprise by introduction of new, additional products or as of the day of receipt of the decision on commencement of operation in the case of fundamental change in the overall production process of the existing enterprise.
(6) The evidence referred to in paragraph (3) points 3, 4, 6 and 7 of this Article shall be submitted each year of operation in the zone, not later than 31 March of the current year.
(7) If the requirements referred to in this Article are met, the tax authority shall implement the decision of the Commission for Protection of Competition and issue to the user a decision on appropriate tax exemption and relief within a time period of 30 days as of the day the request has been submitted. It shall also submit the decision to the Directorate for Technological Industrial Development Zones within a time period of eight days of its adoption.
(8) The user of the zone shall be subject to tax exemptions and reliefs referred to in Article 5 of this Law after the receipt of the decision on operation commencement by the Directorate for Technological Industrial Development Zones, that is, the decision on commencement of operation on the expansion of the capacity of the existing enterprise or as of the day of receipt of the decision on commencement of operation in the case of diversification of the production of the enterprise by introduction of new, additional products or as of the day of receipt of the decision on commencement of operation in the case of fundamental change in the overall production process of the existing enterprise.
(9) The user of the technological industrial development zone shall be subject to exemption from the obligation for paying the determined profit tax as a form of state aid only in the percentage of the profit tax as determined in the decision of the Agency for Foreign Investments and Export Promotion of North Macedonia or the Directorate for Technological Industrial Development Zones or the ministers without portfolio in charge of attraction of foreign investments, taking into consideration the deadlines set in Article 5 paragraph 1 points 1 and 2 of this Law and under the conditions and within the limits determined in Article 4a of this Law
- Implementing Authority (Name)
- Public Revenue Office