D. You do not pay utility tax for the following applications:

•  the business premises in an area of special state concern
•  the business premises are located in the City of Karlovac 4 th business zone
•  the business premises whose investors are the invalids of the Homeland War in the inverse proportion to the percentage of their invalidity
•  the business premises of high demand or in activities of the special interest to the City of Karlovac

•  in scarce trades and crafts production activities of great interest for the City of Karlovac

A. The first group: This incentive is aimed at the sale or use of government owned real estate.

It i ncludes lease possibilities, granting of building licenses, the sale of and permits to use real estate or other infrastructures owned by the Republic of Croatia and units of local government or self-government under commercial or favorable conditions, including those that are free of charge. This incentive can be as great as free use of the real estate.

B. The second group: This incentive is aimed at new job creation .

The beneficiary of incentive measures may be granted a single amount of up to HRK 15,000 per employee in order to cover the costs of job creation and re-training. Incentives may be used only for the creation of new jobs, provided that the number of new employees is not reduced over a period of at least three years.

C. The third group: This incentive is aimed at retraining employees.

It comprises incentive assistance for vocational training or re-training. If the employer invests in vocational training or in the retraining of his/her employees, he/she may be granted an amount that covers up to 50% of related costs.

* special incentives can use investors in the area of special state concern where income tax is paid 5, 10 or 15 % depending on the area they invest in.

* relates to the waiving of the payment of custom duty on the import of equipment that forms a part of the investment (except for personal automobiles with a motor capacity of more than 1,500 ccm).

* trading company that intends to use an incentive measure or benefit submits a standard application form to the Ministry of the Economy, Labor and Entrepreneurship Investment Promotion Department.