Are you planning to start or expand your business activities in the Czech Republic? If so, you may be eligible for one of the public support programs offered by the state.
Investment incentives scheme
Main areas of investment incentives
| Investment incentives for the manufacturing industry |
Programs designed to support the manufacturing industry’s investment in advanced technology. |
- 5-year full income tax relief for Greenfield investments
- 5-year partial tax relief for Brownfield investments
- Provision of industrial (infrastructured) property at a discount
- Financial support for the creation of new jobs
- Financial support for the retraining of employees
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| Investment incentives for business support centres |
Defined as services adding significant value, enabling the utilization of information technologies and creating new job opportunities for qualified specialists. |
- Subsidies for business activities
- Subsidies for the training and retraining of new employees
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| Investment incentives for the development of technology centres |
The aim is to assist with the development of technology centres and expand innovative activities which can be used in the production. |
- Subsidies for business activities
- Subsidies for the training and retraining of new employees
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| Job creation support program for regions badly affected by unemployment |
Supports investment projects that introduce new production, extend existing production, provided specific services or extend the provision of specific services. |
- Financial support for creation of new jobs
- Financial support for training and retraining of employees
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The Czech Republic has a scheme of investment incentives (tabled) that are available both to domestic and foreign investors since 1998. A new amendment to the Act on Investment Incentives, allowing incentives for the manufacturing sector, is valid as of 2 July 2007. The amended Framework Program for support of Technology Centres and Business Support Centres has been in force since 18 April 2007.
Investors must be careful to ensure that they meet certain criteria after the incentives are granted — otherwise the incentives may have to be repaid. As the rules governing investment incentives have been subject to many changes and modifications many companies feel uneasy ensuring that all the requirements for investment incentives are met.
Our role and assistance
Deloitte’s dedicated team of investment incentives specialists will be pleased to use their extensive experience to assist you through all the stages of your investment project including the investment incentives health check. Contact us if you are concerned about:
- Fulfillment of statutory requirements applying to the investment project carried out by your company
- Supporting documentation that your company needs to prepare for the investment incentives audits
- The impact of strategic business decisions on the investment incentives granted to your company
- Unclear wording of investment incentives legislation
- Possible negotiations with the relevant authorities on various investment incentives topics
Learn more
Download the Investment Incentives whitepaper below, prepared by our Deloitte investment incentives specialists, which will provide you with a more detailed overview of the investment incentives scheme including detailed listing of the available incentives and the conditions of eligibility.
Related links
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