The following incentives are applied to investments with Incentive Certificates, regardless of whether an investor is local or foreign. Incentive Certificates are granted from the State Planning Organization.
– Investment Allowance
Investment allowance is 200% on the initial fixed capital investment expenditure for the investments in Priority Development Regions and in sectors with special importance.
Investment allowance is 100% on the initial fixed capital investment expenditure for the investments in other sectors and regions.
Güzelyurt and Karpaz were determined as Priority Development Regions by the Council of Ministers.
– Exemption From Custom Duties and Funds
Import of machinery and equipments concerning the project are exempt from every kind of custom duties and funds in accordance with Incentive Certificate. Regulations on importation of raw materials and semi-finished goods are specified by the Prime Ministry and subject to the approval of the Council of Ministers.
– Zero Rate VAT
Zero rate VAT is applied for both the imported and locally purchased machinery and equipment in accordance with the Incentive Certificate.
– State Owned Land and Building Lease
State owned land and building lease is possible for the investments that are granted Incentive Certificate in accordance with the regulations in force.
– Fund Credits
Long term and low rate investment credits are available from the Investment and Export Incentive Fund.
– Exemption From Construction Licence Fee
Investments that are granted Incentive Certificates are exempt from all kinds of taxes and fees related with construction licence.
– Reduction of Stamp Duty for Capital Increase
Reduction of stamp duty concerning capital increase is provided for the investments that are granted Incentive Certificate.
– Reduction of Fee on Mortgage Procedures
Reduction of stamp and registration fees is applied on mortgage procedures necessary when using bank credit for the investments that are granted Incentive Certificate.