THE HAGUE, 08/09/00 - The Cabinet intends to extend the fiscal incentive scheme for technology companies next year. The capital tax on the issue of new shares will also be reduced.

According to insiders, the exact sums and percentages with which the rulings will be modified cannot yet be given. The Finance Ministry will announce the measures officially on Princes Day.

The modification of the fiscal facilities for companies that invest in the development of new technologies and products is intended to make it possible for more companies to benefit. The reduction of the capital tax is predominantly beneficial to larger companies.