The Council of Ministers has approved a bill which amends the income tax law so that the existing tax exemption for an investment in a small and medium innovation company is extended to cover corporate investors as well.
According to a press release by the Ministry of Finance, the bill is included in the commitments of the National Recovery and Resilience Plan, which aims to provide tax incentives to attract investments in the field of Research and Innovation.
The tax advantage will be calculated as 30% of the amount invested for own funds investment by a legal entity in an approved small and medium innovation enterprise, provided that this deduction will not exceed 50% of the taxable income of the legal entity and will not exceed 150,000 euro.
The proposed framework has been drafted following a series of consultations and a decision taken by the European Commission's Directorate-General for Competition.
The start date of this framework will be the 14th of February, 2022, when the Directorate-General for Competition of the European Commission took its decision.
The bill will be submitted to the House of Representatives.