Investment Allowance

The IFB is granted in addition to depreciation and can only be claimed in the year of acquisition or production of the asset.

The standard rate of the IFB is 10.00% of acquisition or production costs, increasing to 15.00% if the asset qualifies as an ecological investment.

To qualify for the IFB, the asset must have a normal useful life of at least four years and must be attributable to a domestic business or permanent establishment, which serves to generate business income.

The IFB cannot be claimed for assets that:

• were used to cover an investment-related profit allowance
• are used assets
• are buildings or passenger vehicles (except electric vehicles)
• are low-value assets, or
• are intangible assets that do not relate to digitalization, ecology, or health.