Investors investing in Free Economic Zones are granted the following tax incentives:-
- 10 year Corporate Tax Holiday and 25% tax rate for the subsequent ten years.
- 10 year withholding tax holiday on dividends to non residents.
- Duty and VAT Exemption on raw materials, machinery, equipment and other inputs.
- Stamp Duty Exemption
- 100% investment deduction on capital expenditure within 20 years.
- Exemption from Tax on dividend for ten years.
- Duty and Tax free Import of goods from domestic area permissible.
- Duty Free import of raw materials for construction of factory buildings.
- Duty free export of goods produced.
- Exemption of income Tax on interest on borrowed capital.
- Exemption from payment of all taxes and levies imposed by local government authorities for gods and services produced in Free Economic Zones.
- On site custom inspection of goods in lieu of off-port inspection.
Investors investing in Free Zones are granted the following tax incentives:
- Exemption from any tax on all goods destined for re-export.
- Exemption from local taxes on all goods produced in Freeport for export
- Exemption from payment of corporate tax for the first 20 years.
- No limit to the durations that goods may be stored to Freeport Zones.
- 100% retention of all profits.
- 100% foreign ownership allowed.
- Free repatriation of profit.
NB: 20% of turnover is allowed for sale at the local market and is subject to the payment of all taxes.