Company: BNRG
Filing Date: 2025-06-13
Form Type: POS AM
Source: 0001213900-25-054302
Chunk: 49

Company: Brenmiller Energy Ltd.
Filing Date: 2025-06-13
Form: POS AM
Chunk 49
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” is defined as an enterprise whose principal activity in a given tax year is industrial production.

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The following corporate tax
benefits, among others, are available to Industrial Companies:

| ● | amortization of the cost of purchasing a patent, rights to use a patent, and know-how, which are used for the development or advancement of the company, over an eight-year period, commencing on the year in which such rights were first exercised; |
|:--|:------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ● | under limited conditions, an election to file consolidated tax returns with related Israeli Industrial Companies;                                                                                                                                     |
| ● | expenses related to a public offering are deductible in equal amounts over three years; and                                                                                                                                                           |
| ● | accelerated depreciation rated on certain equipment and buildings.                                                                                                                                                                                    |

Eligibility for benefits under
the Industry Encouragement Law is not contingent upon approval of any governmental authority.

It is possible that the Company
may fail to qualify or may not continue to qualify as an “Industrial Company” or that the benefits described above will not
be available in the future.

Grants for Research and Development

Under the Israeli Encouragement
of Research, Development and Industrial Initiative Technology Law, 5744-1984, as amended, and related regulations, or the Research Law,
research and development programs that meet specified criteria and are approved by the IIA are eligible for grants of up to 50% of the
project’s expenditure, as determined by the research committee, in exchange for the payment of royalties from the revenues generated
from the sale of products and related services developed, in whole or in part pursuant to, or as a result of, a research and development
program funded by the IIA. The royalties are generally at a range of 3.0% to 5.0% of revenues until the entire IIA grant is repaid, together
with relevant interest. Under IIA regulations, grants received before June 30, 2017, bear the annual interest rate that applied at the
time of the approval of the applicable IIA file which will apply to all of the funding received under such IIA approval. Grants received
from the IIA after June 30, 2017, bear an annual interest rate based on the 12-month SOFR, or at an alternative rate published by the
Bank of Israel plus 0.71513%. Grants approved after January 1, 2024, shall bear the