If the implementer is an urban renewal project corporation organized as a limited company, up to 20% of the total funds invested in an urban renewal project implemented in the renewal area demarcated or changed by the competent authority may be reduced from its business income tax of the year in which the urban renewal project is completed. If the business income tax to be paid in the year is less than the amount to be reduced, the reduction may be conducted in the four following years.
Where an urban renewal project is implemented by the competent authority or an approved agency (institution) in accordance with Article 12 after public solicitation of capital and assistance from limited companies for implementation of the urban renewal project is conducted, and the responsibilities and division of labor and contents of assistance are also specified in the urban renewal project plan, the business income tax reduction .regulation stated in the preceding paragraph may apply mutatis mutandis to such companies.
The off-set reduction total of the investment off-set reduction mentioned in the preceding two paragraph allowable each year is limited to no more than 50%of the business profit tax of such a company for that fiscal year. However, the last fiscal year's set-off reduction total is not restricted by this regulation.
The applicable coverage of the investment set-off reduction mentioned in the paragraph 1 and 2 should be instituted by the Ministry of Finance after conferring with the Ministry of Interior.