EU: European Commission issues recommendations on tax incentives to support Clean Industrial Deal

Recommendations are in line with Clean Industrial Deal State Aid Framework 

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July 3, 2025

The European Commission (EC) on July 2, 2025, issued recommendations on tax incentives to support the Clean Industrial Deal.

The recommendations are in line with the recently published Clean Industrial Deal State Aid Framework (CISAF). Read TaxNewsFlash

Cost-effective measures suggested for enhancing clean investment include:

  • Accelerated depreciation to incentivize the acquisition or lease of clean technology equipment, up to full and immediate expensing
  • Tax credits supporting the creation of additional manufacturing capacity and investment in energy efficiency and greenhouse gas emission reduction

Read a July 2025 report prepared by the KPMG’s EU Tax Centre

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