Does the DRC have a Special Economic Zone? If so, what advantages are granted in this Zone ?
Answer: DR Congo has a pilot Special Economic Zone in Maluku, which is being set up. In the short term, the developer recruited and having already signed the contract with the Congolese Government should recruit and start with the construction of the infrastructures of the said Zone. In the Government policy, through the Ministry of Industry, several other sites for the erection of other Special Economic Zones have already been identified and are seeking investors (developers). These are as follows:
- Equatorial Space;
- Eastern space;
- Katanga Space;
- Equateur Space.
With regard to the Prime Minister’s Decree n° 20/004 of March 5, 2020, the following advantages are granted to developers or companies that have to operate within the Special Economic Zone:
- For the developer
- Total exemption from property, furniture and business tax on profits for 10 years, renewable once after evaluation;
- 50% reduction of the fixed tax rate from the 21st year;
- Total exemption from import duties and taxes on machinery, tools and equipment, new or used, capital goods... for 10 years...
- For the company
- Total exemption from property, furniture and business tax on profits for 5 years, renewable once after evaluation;
- 50% reduction of the fixed tax rate from the 11th year;
- Application of the exceptional depreciation system;
- Total exemption from import duties and taxes on machinery, tools and equipment, new or second-hand, capital goods... for 10 years;
- Exemption from export duties and taxes on finished products for 10 years...
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