Investment Aid Regulations revised
20 October 2021
A new regulation 8 has been added to the Investment Aid Regulations 2021, pursuant to LN 390 of 2021, which inter alia regulates the computation of the investment tax credit, provides that where the benefitting undertaking distributes the income which was relieved from tax, the dividend warrant must indicate that such income was relieved from tax by an investment tax credit and the ineligibility for a refund of tax under the Act.
The new provision furthermore clarifies that the chargeable income relieved from tax under the Regulations is to be allocated to the Final Taxed Account and any dividends (or part thereof) distributed therefrom would be exempted from income tax in the hands of the recipient.