Any exempt business may apply to the Secretary of State
to renegotiate its existing exemption agreement. One of the
factors to take in consideration in a renegotiation is the
company’s capability to increase its employment by
at least 25% above its average for the past three years.
A substantial increase in the investment of at least an additional
25% is another aspect to be considered in a renegotiation.
If either of these is lower than 25%, the exempt business
must prove that a renegotiation is critical for its economic
stability or to maintain its employee levels.
Any exempt business may apply for an extension to its existing
exemption agreement for an additional ten-year period. This
application should be done during the last year of the existing
exemption period. In these cases, a fixed corporate income
tax rate of 10% will apply and a 50% exemption on property
and municipal license taxes will be imposed. Apparel, textiles,
shoe, leather products and fish canning industries may extend
their exemption periods at a fixed corporate income tax rate
of 5%. The exemption on property and municipal license taxes
will be for 50%.
