Tax cut for local industry

Draft law grants industry 50 percent cut in income tax on exports

Industrialists will be getting a cut in their income tax bill in a measure designed to improve competitiveness of local products by reducing production costs, according to Minister of Industry, Vrej Sabounjian. 

On March 28, the Cabinet approved a draft law granting local industries a 50 percent cut on income tax accrued on exports. The Cabinet has referred the draft law to Parliament for ratification.

Sabounjian said that the new law will also spur manufacturers that operate without a license to regularize their legal status, and export their products. The minister advised small and medium size manufacturers to merge their businesses in order to boost productivity and cater to the demands of export markets.

Reported by Hanadi Chami