Business Incentives Packages in Batangas

Groundwork on Investment Liberalization

• Land lease loan extended from 50 to 75 years
• Opening up of banking industry for foreign participants
• 100 percent foreign ownership in selected investment areas

Fiscal Incentives

• Income tax holiday of 4 to 6 years
• Tax and duty-free importation of capital equipment and spare parts
• Tax credit on domestic capital equipment
• Tax credit for taxes and duties on raw materials used in the manufacture, processing or production of products for export

Non-Fiscal Incentives

• Simplified customs procedures
• Unrestricted use of consigned equipment
• Employment of foreign nationals waiving of nationality requirements for regional ASEAN of multilateral financial institution

If you decide to put up your facility in what the government classifies as a less-developed area, you will receive additional incentives including:

• Enjoyment of pioneer incentives
• Full deduction from taxable income of the cost of necessary infrastructures and public facilities constructed in the area
• Double deduction of labor expenses

Incentives in Export Processing Zones

If you are able to locate in one of the export processing zones, you will be entitled to BOI incentives and the following other privileges:

• Exemption from local taxes (except real estate tax), licenses, and fees
• Exemption from real estate tax on production equipment and machinery
• Exemption from the 15 percent branch profit remittance tax
• 100 percent foreign ownership
• Simplified import and export procedure
• Exemption from SGS inspection

Incentives under the Export Development Act

Qualified enterprises earning at least 50 percent of its revenues from export are entitled to the Board of Investments (BOI), the Philippine Export Zone Authority (PEZA) or special economic zone incentives and the following other privileges:

• Exemption from advance payment of customs duties
• Zero percent duty on imported machinery and equipment, and spare parts
• Tax credit on imported raw materials for a period of five years
• Tax credit for increase in current year
• Tax credit of 25 percent of duties on local raw materials, capital equipment and/or spare parts for a period of three years extendible for another three years

Philippine Mining Act Additional Incentives

• 100 percent foreign equity (Financial or Technical Assistance Agreement with the government)
• Incentives for pollution control devices
• Accelerated depreciation

Agencies Which Could Assist You:

One-Stop Action Center for Investment

Board of Investment (BOI)

385 Sen. Gil J. Puyat Avenue, Makati City

Tel. Nos. (632)8958322 (632)8967884

Project Evaluation and Review Department

Philippine Economic Zone Authority (PEZA)

Roxas Blvd. cor. San Luis St., Pasay City

Tel. Nos. (632)5513456 to 58

Bureau of Trade and Regulation and Consumer Protection (BTRCP)

Department of Trade and Industry (DTI)

2nd Floor, Trade and Industry Building

361 Sen. Gil J. Puyat Avenue, Makati City

Tel. No. (632)8904872; Fax. No. (632)8905210

Legal Department

Securities and Exchange Commission (SEC)

SEC Building, E. de los Santos Ave. Mandaluyong City

Tel. Nos. (632)7260931 to 39

Return from Business Incentives to Batangas Business

Return from Business Incentives to Batangas-Philippines.com