Global Investment and Innovation Incentives (Gi3)
Assisting clients to obtain grants, credits and incentives related to R&D and other areas of desired economic development.
- Research and Development and IP Tax
- Government Grants and Incentives
- Incentives Controversy
- The Deloitte difference
Government Grants, Credits and Incentives
To take advantage of the grants, credits and incentives available to a business requires time and effort. Deloitte’s Gi3 teams are highly experienced in the practicalities of preparing, negotiating and agreeing such applications from initial feasibility reviews to document submission. Deloitte's knowledge and experience in this specialized area provides clients with the confidence of knowing that the incentives which can impact their cost of business have been considered and evaluated. Deloitte delivers Gi3 services using the Incentives Insight methodology and a set of technology tools, streamlining and accelerating the gathering and processing of data and information needed to deliver the services.
According to Article 22A of L.4172/2013, most operating expenses incurred in R&D activities undertaken in Greece qualify for a 200% tax super deduction. Capital expenditure related to R&D (R&D equipment, instruments & software) is subject to a three-year accelerated depreciation equal to 40% per year, which also is eligible for the 200% tax super deduction. If the company cannot utilize the tax benefit in the current year, it may be carried forward for five years. Deloitte provides all the services required for the claim preparation & filling and support for maximizing the benefit.
CAPEX tax incentives for energy efficiency and water saving: According to the 1st case of par.10 of Article 24 of Law 4172/2013, assets related to energy efficiency or water saving can be super-depreciated by 100%. Deloitte provides all the services required for the claim preparation, support during CIT statement, benefit calculation and compliance control for the eligible assets. Tax incentives for the creation of new jobs: Article 71d of tax law 4172/2013, provides for a 150% super deduction of employers' social security contributions for the creation of new full-time jobs. Deloitte provides all the services required for the claim preparation, support during CIT statement, benefit calculation and compliance control for the eligible job positions.
Development Law 4399/2016 is the regulatory framework for the establishment of state aid schemes for private investments for the regional and economic growth of Greece. Deloitte provides all the services required during the preparation, submission and implementation of the project included in the Development Law, in order to ensure and maximize the state aid for the investment activities.
State Aid Incentives
Deloitte provides all the services required during the preparation, submission and implementation of projects funded by national or EU financial instruments (ESPA Operational Programmes, EU LIFE, HORIZON 2020, CEF), in order to ensure and maximize the state aid for the investment activities.
The Law of Strategic Investments (L.4608/2019) streamlines the licensing process of Strategic Investments in Greece, while providing investment incentives to make Greece attractive to both domestic and international investors. Deloitte provides all the services required during the submission and evaluation of the application, in order for the investment to be qualified as “strategic” and benefit from the incentives.
Incentives Audit Services
Deloitte provides high quality specialized state aid and tax incentive services which consist, as the case may be, of a) assurance services under the provisions of International Standard on Assurance Engagements (ISAE 3000) and b) agreed upon procedure services under the International Standards on Related Services (ISRS 4400). Our multifunctional approach teams Tax Audit professionals with Government investment & innovation incentives specialists. We combine excellent state aid expertise, where required, collaborations with external, independent reputable engineering firms and Deloitte auditing practice.
Clawback Reduction Audit Services (CRAS)
Deloitte performs agreed upon procedures for the certification of eligible R&D costs and expenditure on investment plans for the development of products, services or production lines to be offset with pharmaceutical expenditure clawback with respect to the provisions of Article 20 of Law 4633/2019 (A’ 161/16.10.019) as implemented by a Joint Ministerial Decision issued each year. The Joint Ministerial Decision sets out the eligibility audit procedure for the clawback offset process and all the requirements which need to be met. The Report of Findings in accordance with the International Standards on Related Services (ISRS 4400) issued by Deloitte is a necessary supporting document that accompanies the file that the beneficiary of the clawback reduction submits to the General Secretariat for Research & Technology (GSRT).
Development Las Audit Services 100% (DLAS 100%)
Deloitte performs assurance services in accordance with the provisions of International Standard on Assurance Engagements (ISAE 3000) relating to the certification of completion and commencement of the productive operation of investment projects subject to all the aid schemes of L.4399 / 2016, as well as to the investment plans of L.2601 / 1998, L.3299 / 2004 and L.3908 /2011. At the choice of the entity of the investment, the completion and commencement of productive operation of the investment may be certified following an audit by a Certified Public Accountant or audit firm, without the performance of the foreseen regular audit by the state.
Development Law Audit Services 50% (DLAS 50%)
Services include reviewing transaction. Deloitte performs assurance services in accordance with the provisions of International Standard on Assurance Engagements (ISAE 3000) relating to the certification of the financial aspect of investment plans implemented at a rate of at least 50%. The entities implementing investment plans subject to L.4399/2016 or L.3908 / 2011 may co-submit with the implementation request to the state certificates signed by a CPA or audit firm and a Civil Engineer (or an engineer of another professional specialty as the case may be) who will certify the implementation of the physical and financial aspect of the investment plans at a rate of at least 50%.
Research Expenditure Audit Services (REAS)
In order to accelerate the certification of the R&D expenditure for obtaining the R&D tax superdeduction, the beneficiary can select to submit a report from a certified auditor-accountant or audit company verifying the R&D expenditure incurred in the previous tax year, along with the necessary supporting documentation, before the filling of the annual corporate income tax return. In this case, GSRT will audit and certify only the subject matter of the R&D project, i.e., whether the expenses are related to R&D activities, and will issue a certificate within six months, instead of 10 or more months. In this situation, if GSRT delays the issuance of the certificate beyond the six months period, the R&D expenditure is considered by the tax authorities as certified.
Deloitte Technological Solutions
✧ myInsight Global Incentives - my GI
Global Incentives, AKA myGI, is a web-based application designed by our global Gi3. myGI is used for managing the incentive program portfolio of companies by assisting clients with incentive identification as well as compliance and lifecycle management. It digitizes the life cycle of incentive management by using information requests to collaborate on data and document gathering, managing investment and innovation projects, and researching opportunities beyond one jurisdiction.
It provides a robust digital method addressing the following challenging areas:
- Real time visibility into client’s investment and incentive program portfolio and prevent losing of incentive dollars.
- Capabilities to ensure meeting of compliance deadlines.
- Centralized dashboards to keep close track of commitments and obligations.
- Research library to identify and pursue top global incentives.
- Easy tracking of active program benefits.
The benefits for your business
✔️Deloitte’s methods streamline
The effort required by clients to pursue the right incentives for their needs and lead to a robust approach ensuring compliance to rules & regulations , thus reducing the risks of cost or claim rejection.
✔️Deloitte delivers high-quality assurance and AUP services
Along with deep insight and value— to our clients. These services lead to the acceleration of the process relating to the provision of state aid and tax incentives, which currently present significant delays resulting in financial uncertainty on companies.