This article aims to discuss the possibility of tax incentive policies affects the strengthening of the investment climate in the Capital City of the Archipelago (IKN) and its implications for investors and the legal protection for recipients of tax incentives who invest in the IKN. This research uses a method of normative juridical research with secondary Data. The result of this research shows that tax incentive policies can be an important factor in influencing the strengthening of the investment climate in the Capital City of the Archipelago by providing the right tax incentives to investor. The government's efforts to give investors tax breaks are anticipated to improve the investment climate in IKN and give investors legal certainty; nevertheless, stringent oversight is still required to ensure that the incentives are not abused and result in losses for the state. The protection and legal certainty that the government offers through laws and regulations greatly influences investors' willingness in funding the growth of IKN. When laws and regulations are clear, investors will feel more comfortable investing in IKN, allowing for the realization of shared goals and the future development of IKN.