Additional business tax relief for companies capped on value added with new investment (2005-2007)

Article 100 of the 2005 Finance Act creates Article 1647 B octies of the General Tax Code. Companies benefiting both from the value-added cap on business tax and from the relief for new investment obtain, on claim, an additional relief for 2005, 2006 and 2007. It equals the depreciation (or rent) of the assets eligible for the new-investment relief multiplied by the cap rate, without exceeding 50% of the cap relief or reducing the tax below the minimum contribution. Total reliefs remain capped at €76,225,000 per taxpayer.