WB6 IIP
Western Balkans Six
Investment Incentives Platform
The Western Balkans Six Investment Incentive Platform is the first of its kind in the region, providing detailed information on available incentives in each of the WB6. It is one of the key measures under the Regional Investment Area, which is part of the Common Regional Market Action Plan 2021-2024.
Developed with input from Investment Promotion Agencies (IPAs) across the region, the platform includes both financial and non-financial incentives, categorized by type, sector, and target audience.
It provides comprehensive information for investors looking to invest in the WB6. As an evolving resource, the platform will be updated every six months to ensure it remains current and relevant.
Reduced Corporate Income Tax (CIT) of 8% on Dividends
- Economy name
- Albania
- ID
- A45
- Incentive name
- Reduced Corporate Income Tax (CIT) of 8% on Dividends
- Brief description
- Dividends are subject to a reduced CIT rate of 8%. This applies to dividends paid to both resident and non-resident individuals, as well as local and foreign entities
- Legal reference name
- Law No. 29/2023 “Income Tax” (“the new law”) dated 30 March 2023 was published in Albania’s Official Gazette 02/2023
- Legal reference
law section / article - Not available
- Incentive group
- Financial
- Incentive category
- Corporate Income tax (CIT)
- Economy-wide/Sector-specific
- Economy-wide
- Sector (Simplified)
- All sectors
- Sector (NACE)
- N/A
- Size of firm that can use incentive
- All sizes of firms
- Level at which incentive is available
- Economy-wide
- Ownership of firm that can use incentive
- Any
- Incentive location
- General
- Main objective of the incentive
- Increase competitiveness
- In case of grant, share of grant in investment (in %)
- Contact Info
- Street “Skerdilajd Llagami”, Nd. 1, H.6, Kodi postar 1019, Njësia administrative 2, Tirana
- Weblink to Incentive information in English
- Click to open
- Weblink to Incentive information in local language
- Click to open
- Eligibility criteria
description -
The new law provides an exemption from CIT for dividend income if:
The recipient holds at least 10% of the shares or voting rights of the payer company; and
The minimum shareholding/participation has been held for an uninterrupted period of at least 24 months.
Where the minimum 24-month holding period is not met, an exemption may still be available for dividend income by providing a guarantee issued by a second-tier bank to the tax authorities for the amount of tax otherwise due, until the condition is fulfilled.
Under the current law, dividends and profit distributions are exempt from CIT if the payer company is subject to CIT, regardless of the percentage shareholding or the period of time for which the shareholding is held.
- Eligibility criteria
weblink - Click to open
- Awarding Authority (Name)
- Ministry of Finance, General Directorate of Taxation
- Application procedure + Weblink (where available)
- The application needs to be submitted to the General Directorate of Taxation in a paper form
- Implementing Authority (Name)
- Ministry of Finance, General Directorate of Taxation