The Finance Act, 2023 amends the Corporation Tax Act by including a new section 10Y which provides for an allowance of up to a maximum of $500,000.00 in respect of companies which incur expenditure in investments made in cybersecurity software and network security monitoring equipment during the period 1 January 2024 to 31 December 2025. The expenditure incurred must be certified by iGovTT to qualify for the allowance.
The maximum allowance that can be claimed is 150% of the cost incurred, therefore, where a company incurs expenditure of $250,000.00 for cybersecurity software and network security systems during the year of income 2024 and/or 2025, then that company can benefit from the allowance of $375,000. To access the full amount, expenditure will need to be $333,333.00 to benefit for the maximum allowance of $500,000.00.
More details to follow!