A foreign investor in a North Macedonian TIRZ free zone can operate with a corporate income tax exemption of up to 10 years, customs-free and VAT-free zone operations, and land leased for up to 99 years. Entry requires a local company, a state-aid contract and agreements with the zone founder under the Law on Technological Industrial Development Zones. Dimov & Partners handles the complete setup in English: investment structuring, company formation, the state-aid contract, the zone agreements and ongoing compliance inside the zone.
In short: the TIRZ free zones offer production, IT and R&D investors a 10-year corporate income tax exemption, personal income tax relief for employees, customs-free and VAT-free zone operations and 99-year land leases, in exchange for a new activity and compliance with EU-aligned state-aid rules. Fourteen zones are listed by the Directorate for TIDZ, including Skopje 1-3, Štip, Tetovo, Prilep, Struga, Strumica and Kičevo. Construction must start within 9 months of the land-lease agreement, and production within 36 months of the final building approval.
What does the service cover?
- Investment structuring and formation of the zone-user company (DOO or DOOEL) at the Central Registry
- Advice on eligibility, incentive scope and state-aid compliance before any commitment is made
- Negotiation support and drafting for the state-aid contract with the Government side
- Activity agreement with the zone founder and the long-term land-lease agreement (up to 99 years)
- Building approvals through the zone fast-track procedure before the Directorate for TIDZ
- Employment documentation and labour-law compliance for the zone workforce
- Ongoing corporate, tax and customs compliance of the zone user
- Disputes with the zone founder, contractors or public authorities, including administrative disputes
Who is this for?
- Foreign manufacturing, IT and R&D companies comparing North Macedonia's free zones with other nearshoring locations
- Existing zone users that need legal support for expansion, contracts or compliance
- Investors evaluating the difference between the TIRZ regime and municipal industrial (green) zones
Key facts at a glance
- The zones are governed by the Law on Technological Industrial Development Zones, in force since 2007 and most recently amended in 2026
- Corporate income tax exemption for up to 10 years from the start of zone activity, limited by the awarded state-aid amount; employees' salaries are exempt from personal income tax for up to 10 years
- Eligible goods enter the zone duty-free and VAT-free; supplies within the zone are not subject to VAT, except for final consumption
- State aid follows EU rules: maximum intensity of 50% of eligible investment costs (60% for medium and 70% for small enterprises), with at least 25% own contribution
- The Directorate for TIDZ currently lists 14 zones; zone land is leased for up to 99 years at concessionary rates approved by the Government
- Construction must start within 9 months of the land-lease agreement, and production within 36 months of the final building approval, extendable once by 12 months with Government consent
- Eligible activities: production, IT and R&D, and services directly linked to zone goods; the activity must be new, with no unsettled tax or customs liabilities and no bankruptcy
Frequently asked questions
What tax benefits does a TIRZ free zone company get in North Macedonia?
A zone user is exempt from corporate income tax for up to 10 years from the start of zone activity, limited by the awarded state-aid amount. Salaries of the zone user's employees are exempt from personal income tax for up to 10 years. Eligible goods enter the zone free of customs duties and VAT. The aid follows EU state-aid rules: up to 50% of eligible investment costs (60% for medium and 70% for small enterprises), with at least 25% own contribution.
Which activities are allowed in the TIRZ free zones?
Production, IT activities and research and development, as well as services directly linked to goods in the zone. The activity must be new (not a relocation from elsewhere in the country), and the applicant must have no unsettled tax or customs liabilities and no open bankruptcy. Trade in waste, radioactive materials, drugs, weapons and embargoed goods is prohibited.
How does a foreign company become a zone user?
In five steps: (1) incorporate a local company (DOO or DOOEL) at the Central Registry, (2) open the procedure with the Directorate for TIDZ or Invest North Macedonia, (3) conclude the state-aid contract, (4) sign the activity agreement with the zone founder and the long-term land-lease agreement, and (5) obtain the building approval through the zone fast-track procedure and the start-of-operations decision after customs approval of the record-keeping. We coordinate the entire sequence on your behalf.
Can zone land be bought, or only leased?
The current regime is lease-based: zone land is leased for up to 99 years at concessionary rates, with the term and the rent approved by the Government case by case. The lease agreement is the anchor document of the investment, so its deadlines and termination clauses deserve careful review before signing.
Are there deadlines I must respect after signing the lease?
Yes. Construction must start within 9 months of the land-lease agreement, and the facility must be completed with production started within 36 months of the final building approval. One extension of 12 months is possible with Government consent. Missing these deadlines exposes the investor to termination of the lease.
Do you handle the whole procedure in English?
Yes. The analysis, structuring, negotiation support and reporting run in English. Filings before the Central Registry, the Directorate for TIDZ and other authorities are prepared in Macedonian by the firm, with English versions for your file.
Related guides
Written investment analysis
Every project is first analysed in writing. Email a short description of the planned activity, the investment size and the timeline to info@dimov.mk. If the legal conditions are confirmed, you receive a written engagement proposal with the scope of work and the fees.
Email Your ProjectThis text is general legal information. It is not legal advice for a specific case, nor an advertisement of legal services. For advice tailored to your situation, consult a lawyer.