IT Grants, Tax Credits, and Incentive Programs in Serbia

Serbia offers a range of IT grants, tax credits, and incentive programs to bolster the growth of its technology sector, a key component of the national economy. These initiatives are typically supported by the Serbian government, the European Union, and various organizations dedicated to promoting innovation, startups, and IT development. Notable examples include:

1. Innovation Fund

– Mini-Grants Program: This program supports early-stage companies in developing innovative products, services, or technologies. It provides co-financing for projects, helping startups and small businesses with funding for R&D activities.

– Matching Grants Program: Targets more developed companies, offering co-financing for projects with the potential to create new or significantly improved products, services, or processes.

2. EU Pre-Accession Assistance (IPA)

– The EU provides financial support to Serbia through the IPA, which includes grants for various sectors, including IT. These grants often focus on enhancing digital infrastructure, improving IT education, and supporting tech startups.

3. Digital Serbia Initiative

– Although not a direct grant program, this initiative collaborates with various stakeholders, including the government, to support Serbia’s digital transformation. It offers resources, mentorship, and occasionally funding opportunities for tech startups and IT projects.

4. Startup Ecosystem Support

– Several local and international organizations, such as Startit, ICT Hub, and Impact Hub Belgrade, offer grants, competitions, and accelerator programs for tech startups in Serbia. These programs often provide seed funding, mentorship, and access to investor network.

5. R&D Tax Incentives

– Although not a direct grant, Serbia offers tax incentives for companies that invest in research and development activities, which can significantly reduce the cost of IT projects.

6. Tax credit for startup investments

– Companies that invest in the capital of newly founded Serbian companies engaged in innovative activities, including IT, can benefit from a tax credit to reduce their calculated profit tax. The tax credit amounts to 30% of the investment made.

7. IP Box

–  Companies can exclude income derived from exploitation fee deposited on the author’s work or subject of related rights (author’s work), that is the invention, from their corporate income tax base.

These grants and programs are vital for supporting the growth of Serbia’s IT sector, offering numerous opportunities for startups, established companies, and innovators to secure funding and resources.

Should you require any clarification or have additional questions, please do not hesitate to contact Welcome to Serbia.