Tunisia Code
of Investment Incentives was adopted with an aim of encouraging
national as well as foreign investments.
The code grants common incentives in all branches of industry,
to the exception of a few sectors, which are subject to specific
measures.
Common
incentives
The common incentives are of several types, in particular
the reduced assessment of benefit or reinvested income, which
takes place according to two methods :
1st method : Subscription
by the income or the profits of the companies’ registered
capital or its capital increase.
This subscription gives the advantage of tax exemption up
35% of taxable net incomes or reinvested incomes subject to
income tax (IR) or to the corporation tax (IS).
2nd method : The reinvestment of
the profits within the company itself grants the following
advantages :
• Partial reduction of the profits reinvested up to
35% of the taxable profits
• Customs duties and similar tax exemption or 10% reduction
upon the acquisition of equipment for which no equivalent
is manufactured locally, imported for the needs of projects
stipulated by the Code of Investment Incentives
• Suspension of the VAT and similar taxes
• Suspension of the VAT consumption duty taxes upon
the acquisition of equipment necessary for the business manufactured
locally
 Specific
incentives to export
The totally exporting companies are granted the following
incentives :
• Full tax exemption of IR and the IS for the first
10 years, and a reduction of 50% during the following years
• Full exemption on reinvested profits and revenue in
share subscription or increases of the company’s registered
capital
• Full tax exemption on imported equipment necessary
for the business
• The possibility to sell in the local market, up to
20% of the export turnover
Recruitment
of foreign management and executive staff
The foreign staff who are in charge of the business can under
this scheme :
• Opt for the flat rate taxation scheme of 20% of gross
earning.
• Import their personal effects and one passenger car
free of duty.
• Contribute to another social security schemes other
than that operating in Tunisia.
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