Article 9
Payment of aids

1. The yearly expenditure for the payment of grants and subsidies herein to the detriment of the State shall be entered into the Public Investments budget. Investment grants, interest and leasing subsidies paid on the basis of the provisions herein are exempted from all taxes, stamp duties or rights, as well as any other charge to the benefit of the State or third party.
2. The amount of the grant shall be paid by the State in instalments depending on the progress of the in-vestment projects and following certification by the in-spection bodies, provided that the investor shall have conformed to the terms and conditions of the relevant decision.
3. Grants shall be paid directly to investors and con-cession thereof to third parties shall be prohibited. By way of exception, grants may be conceded to banks in order for them to approve short-term loans equal to the amount of grants, used for the implementation of the investment. In such cases, the grant shall be paid directly to the bank with which the concession agree-ment shall have been concluded, provided that the amount of the loan withdrawn each time is equal to at least the paid part of the grant.
If the terms and conditions of the relevant decision are not adhered to, the payment of instalments shall be suspended, and the Minister of National Economy or Development or the competent approving body shall, following recommendation of the relevant advi-sory committee, revoke the decision on eligibility and decide on the partial or whole return of the amount of the grant or subsidy already paid increased by the amount of legal interest from the payment thereof. The relevant receipts of public grant and subsidy payments shall be a debt certificate of the Public Revenue Department. The provisions on the collection of State revenues shall apply to the collection of debts to the State.
4. Grants and subsidies for investments and leasing programs of craft industry equipment, approved by EOMMEX, shall paid by the body drawing funds from accounts established in the name thereof due to the expenditure under para. 1 above.
5. Payment of investment grants
a. The disbursement of the public grant for any in-vestment may only start after, based on the report of inspection bodies under para. 2 of article 8, the inves-tor's own participation of 50% and the financing bank's participation of 25%, if applicable, have been paid and spent. In case no loan has been used for the imple-mentation of the investment, the public grant shall be disbursed according to the above, after the investor's own participation of 50%, as well as 25% of the re-maining amount besides the minimum participation per region, have been paid and spent on the invest-ment projects.
b. Grants shall be paid at three stages as follows:
- 60% thereof shall be paid during the implementa-tion of the investment in two instalments, set by the approving decision, and in such a way that the re-maining amount of the own participation and loan may be spent;
- 20% thereof shall be paid following certification of the completion of the investment and issue of a rele-vant decision. If the investment is combined with an equipment leasing program, such part shall be paid af-ter certification and installation of the leased equip-ment.
- the remaining 20% shall be paid following certifica-tion of the commencement of the productive operation and issue of a relevant decision.
If the commencement of the productive operation is not certified upon completion of the investment, the productive operation may start no later than in one year from the issue of a decision on the completion of the investment.
Such period of time may not be extended and, after expiry, the decision on approval shall be revoked ipso jure and any paid grant returned. The commencement of the productive operation shall be certified following site inspection by the inspection bodies under article 8, provided that no less than half of the jobs provided for in the relevant decision have been created and purchases of raw materials and sales of products or services have been carried out to an extent proving the facility's regular operation. Especially in the case of establishment or expansion of fishery undertakings (aquaculture) and modern technology cattle-breeding meat-producing facilities, the commencement of the investment's productive operation, if seeking eligibility for the provisions of these presents, shall be certified according to the above without the obligation of prod-uct sales.
c. All required supporting documents for the pay-ment of the grant, interest subsidy and leasing sub-sidy shall be defined by decisions of the Minister of National Economy.
6. Payment of business plans grants under sub-instance of instance a and sub-instance (n) of in-stance e of para.1, article 3, under the authority of the General Secretariat for Industry.
The amount of the grant shall be paid on the basis of the annual expenditure shown on the financing table of the business plan. 80% of the grant shall be paid during the implementation of the business plan and 20% thereof after the issue of the decision on comple-tion. The terms of the grant's partial payments shall be set by joint decision of the Ministers of National Econ-omy and Development. The grant payment procedure as well as all required supporting documents shall be defined by virtue of decision of the Minister of Devel-opment.
7. Payment of investment grants under sub-instances (xvii), (xviii), (xix), (xx) and (xxi) of instances a and f of para.1, article 3, under the authority of the General Secretariat for Industry.
The amount of the grant shall be paid in two equal instalments. The first instalment shall be paid upon certification of the competent inspection body, that the investor has conformed to terms and conditions of the relevant decision and spent 60% of own participation and 60% of any investment loan for the implementa-tion of the investment. The second instalment shall be paid upon certification of the competent inspection body, that the investment has been completed, the productive operation has started, according to the provisions in para. 5 above, and the investor has con-formed to terms and conditions of the relevant deci-sion. The payment procedure as well as all required supporting documents are defined by virtue of deci-sion of the Minister of Development.
8. The amounts of the Public grant received by the undertaking for the purchase fixed assets shall appear as reserve under a separate account in the account books of the undertaking. The amounts of the Public grant received by the undertaking to cover operating costs or expenses, shall be deducted from the under-taking's gross revenues in order to calculate taxable net profits. An equivalent term shall be included in the relevant decision on eligibility.
9. Payment of leasing subsidy.
(a) Leasing subsidies shall be paid upon installation of the leased equipment in the undertaking and com-mencement of the productive operation thereof, ac-cording to stipulations in para. 5, article 9. If the leas-ing of equipment is combined with an investment eli-gible for the grant and interest subsidy, the leasing subsidy shall be paid provided that the investment's productive operation has started.
(b) The subsidy shall be paid, after each payment of lease instalments by the undertaking. Each instalment shall be computed on the price of the equipment value, which is included in each lease instalment. If the leasing contract provides for lease payments in periods shorter that three months, the subsidy shall be paid quarterly.
(c) The amounts of the leasing subsidy instalments received by the undertaking reduce the leasing ex-penses, which are deducted from the undertaking's gross revenues, in order to calculate the taxable net profits. An equivalent term shall be included in the relevant decisions on eligibility.



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