AI infrastructure investors in Iran to receive tax credits

Private and nongovernmental investors in Iran’s artificial intelligence infrastructure will qualify for tax credits under a provision the country’s tax authority has sent to its regional offices for implementation.

The incentive covers investment in computing infrastructure, algorithm development, datasets and the establishment of AI reference laboratories. Contributions to increase the capital of the National AI Development Fund also qualify. Unused tax credits can be carried forward to future years.

Mohammad Barzegari, the Iranian National Tax Administration’s deputy for smart transformation of the tax system, circulated the provision to tax offices nationwide, SENA, Iran’s capital-market news agency, reported.

The measure puts an AI-specific provision into effect through an existing framework for technology investment. Paragraph «پ» (P) of Article 11 of the National AI Development Law brings the specified investments under paragraph «ت» (T) of Article 11 of the Knowledge-Based Production Leap Law, which provides for tax credits that can carry forward.

The National AI Development Law was passed on Aug. 19, 2026. The tax provision aims to encourage private investment in the infrastructure needed to develop AI in the country.

The announcement does not specify a credit rate, an application procedure or how qualifying investment will be assessed.