The international law firm Ben Abderrahmane & Partners works in English, French, German, and Arabic.

Contact (switchboard)

> Tél.: + 33 (0)142892247

> Fax.: + 33 (0)142891804

> E-mail: ba@benlawyers.com

Home > Current events > Investment > Investment in Algeria > Supplementary Algerian Finance Law for 2008 & tax benefits for investors

Supplementary Algerian Finance Law for 2008 & tax benefits for investors


Article 4 of the Supplementary Algerian Finance Law for the year 2008 (Ordinnance No. 08-02 of 24 July 2008, JORA, No. 42).and Article 150 of the Algerian Code of Direct Taxes.

Under this provision of the LFC taxpayers who receive exemptions or reductions of tax on corporate profits in connection with legislations supporting investment are required to reinvest the profits subject to these exemptions or reductions within four years from the closing date of the accounting period whose results were submitted to preferential treatment.
The reinvestment must be made for each year or for several consecutive years. In case of reinvestment for several years, the time above is calculated from the closing date of the first fiscal year. 

Companies benefiting from the tax advantages granted by the National Agency for the Support of Investment (ANDI) may therefore not distribute the profits pertaining to these exemptions or reductions as long as they receive tax benefits under the ANDI regime.

Notwithstanding any other provisions, the provisions of Article 4 of the LFC apply to the results released for the year 2008, as well as to results whose assignment is pending to the date of promulgation of the LFC.

Failure to observe the provisions of Article 4 of the LFC leads to the repayment of the tax advantages and to a penalty tax of 30%. 

Current events on Supplementary Algerian Finance Law for 2008 & tax benefits for investors :