Contents of certificate

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  • (a) A tax incentive benefit certificate must be issued by the Board in the name of the Government of the Virgin Islands and must bear the signature of the Board. The certificate must specify all of the following:

    • (1) In the case of a non-publicly owned corporation, the names and addresses of all of shareholders holding at least a five percent interest in the stock of the company;

    • (2) The line or lines of businesses for which benefits have been granted;

    • (3) The date by which the required financial investment was completed by the beneficiary;

    • (4) The date or dates upon which benefits commence which may be retroactive to the first date of investment by the beneficiary in the industry or business granted in the certificate, but such date may not be before the effective date of this chapter.

    • (5) The specific commencement and termination dates for the benefits granted under the certificate.

    • (6) Such other conditions as the Board considers appropriate, not inconsistent with the provisions of this chapter or regulations promulgated under this chapter.

  • (b) In addition to the conditions established in subsection (a), the certificate must contain a recital that it is conditioned upon the performance and observance of those conditions by the beneficiary within a period of time specified, and upon the final determination of the Secretary of the Treasury of the United States or the Secretary’s delegate, of compliance with the requirement of Internal Revenue Code section 934. Upon failure of the beneficiary to perform or observe the conditions as required by the Board within the specified period or any extension thereof granted for good cause shown to the Board, the certificate is of no force and effect, and the beneficiary shall pay or refund as the case may be to the Government of the Virgin Islands the amount of any benefit actually received under the certificate. Upon a final determination by the Secretary of the Treasury of the United States or his delegate that the beneficiary has not complied with the requirements of the Internal Revenue Code section 934, the beneficiary shall pay or refund, as the case maybe, to the Government of the Virgin Islands, the amount of any subsidy benefits, based on income tax liability, actually received, or the amount of the reduction of income tax liability on a current basis for all the years of non-compliance.


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