Investicijske olajšave
20. September, 2023

Investment Allowance – When Should We Return It And When Not?

Taxpayers can claim a 40% investment relief for investments in equipment and intangible assets in their tax return for corporate income tax or income from activities. According to Article 55a ZDDPO-2 or Article 66a ZDoh-2, relief cannot be claimed for furniture and office equipment, motor vehicles (but it is possible for passenger cars and buses with hybrid or electric drive and for trucks with an engine that meets at least EURO VI emission requirements), for goodwill, property rights on real estate and other similar rights.

If the legal conditions for claiming reliefs are no longer met, because the taxpayer receives, for example, a subsidy for an investment made, or because he disposes of the object of the relief earlier than within 3 years after the year of investment, or before the final depreciation, if this is shorter than three years, in this case, as disposal all types of disposals are considered, such as e.g. sale, donation, deficit, write-off due to destruction…, must return the investment allowance. He does this through the tax return of the period in which the conditions for relief are no longer met. When is it not required to return the relief? The exception, when the taxpayer does not have to return the relief, even if the alienation occurred before the expiration of 3 years, applies to write-offs of fixed assets as a result of the August floods and landslides. The exception is prescribed by Article 20 of the ZIUOPZP. We advise taxpayers to ensure adequate documentation of such a write-off, so that in the event of an eventual inspection or control, they will be able to prove that the write-off of the equipment was truly the result of the injuries that affected Slovenia this year.