The Government of Trinidad and Tobago has introduced a number of tax incentives over the past few years, aimed at stimulating growth or encouraging development in certain sectors and industries. With the national budget due to be announced within the next few weeks, it would be useful to recall some of the previous incentives, as companies and businesses consider how they can optimize use of these incentives, or chart a course to benefit from any further incentives that may be introduced.
Construction and Manufacturing Industries:
For companies involved in the manufacturing sector, the Government introduced a one-time credit for manufacturing companies that invest in new machinery, production lines or new equipment, up to a maximum credit of $50,000.00. The company must, however, be an approved manufacturing company as certified by the Minister of Trade and Industry.
Furthermore, manufacturing companies are also entitled to a reduction in Corporation Tax, namely to 25%, on the first $100,000.00 that is expended on investments in projects relating to information technology, digitization, and technology development, to advance growth in the manufacturing industry. Petrochemical companies are excluded this incentive.
