By the Tax Team

In 2010, the Department of Trade and Industry ("DTI") had launched a tax incentive programme (section 12I of the Income Tax Act) that is geared towards developing the South African manufacturing sector and promoting the growth of sustainable employment.

In summary, the focus of the programme is to support Greenfield and Brownfield Investments by providing capital investments as well as funding for employee training. To date, the programme has supported approximately 50 projects, with a total investment of R46 billion.

It appears that the programme has been successfully implemented thus far. The window period for applications to benefit under the Section 12I incentive has now been extended by DTI to 31 December 2017. Applications can be made via the DTI Website.