The article discusses tax exemptions and relief in the profit tax system of Croatia. It explains that these aspects are not covered by a single law but by various legal provisions. The study examines tax benefits in free trade areas, highland areas, and areas of special state care, as well as incentives for investments. Despite the need to maintain these advantages to stimulate economic growth and address economic challenges, they have been gradually reduced. The legislation in these areas needs to be clearly defined to prevent legal uncertainty.