Tax Incentive Programs
Business Registration
Metro Manila Head Office
Address: 12F Sagittarius Building,
111, H.V. Dela Costa Street Salcedo Village, Makati City 1227
Tel: +63 (02) 8540-9623
Email: info@tripleiconsulting.com
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The Philippines Government has created several programs and tax incentives to attract investors to the country. The two main offices awarding these incentives are the BOI and PEZA. When considering which organization will give you more benefits, there are some important matters to factor into the decision. Will the project be export or domestic-oriented? Are its primary activities listed on the current Investment Priorities Plan? Where will the project be located and operated? Triple i helps our clients to determine all the answers to questions regarding BOI and PEZA. Below is a small comparison to give an idea of the main differences between the two organizations. Contact Us for more information regarding BOI or PEZA.Board of Investments
Foreign and local companies setting up outsourcing operations in the Philippines may opt to register with BOI for tax incentives purposes.
Legal Entities Which Can Avail
Time to Register
- Before the start of commercial operation
Main Industries Using
- Infrastructure
- Business Process Outsourcing (BPO)
- Research and Development
Incentives
- Tax Incentives
- Reduced Import Duty
- Tax Credits
Requirements
- Activities must be listed on IPP or
- 50-70% of production for export
- Outline of Project
- 5year – 15year financial outline
Process
- Submission of Application
- Approval by the management committee
- Confirmation by the Board of Governors
- Certificate of registration and post-registration requirements
The BOI has recently become much more strict in the awarding of incentives for projects. Companies that meet all the requirements may still be rejected simply because BOI would rather see investment in a different area or sector.
Philippine Economic Zone Authority
Any Company Looking to Export should inquire about Locating in a PEZA zone to take full advantage of all the tax benefits the Philippines has to offer.
Legal Entities Which Can Avail
Time to Register
- Anytime in the first year of operation
Main Industries Using
- Economic Zone Export Manufacturing Enterprise
- Information Technology Enterprise
- Tourism Economic Zone Enterprise
Incentives
- Income Tax Holiday
- Exemption from Export Tax
- Exemption from local tax
- VAT Zero Rating
Requirements
- Location of the project in PEZA Zone
- At least 70% of production for export
- Outline of Project
- 5yr financial outline
Process
- Submission of Application
- Evaluation of Application
- Presentation to PEZA Board
- Acceptance
- Post-registration requirements
- Sign registration agreement with PEZA
Registration can be accomplished very quickly, depending on the availability of the PEZA Board. Exact Incentives vary with each project at Board’s discretion, although companies that comply with PEZA will almost certainly be accepted.
Triple i Consulting has experts on hand to evaluate all projects and determine whether they can comply with PEZA or BOI. Working with our clients to help determine the scope of the project and coordinate with the relevant government agencies for availing. Triple i also provide ongoing PEZA and BOI compliance to ensure that the incentive program is monitored.