The Philippine government has several tax incentive programs depending on the nature of one’s business, with different incentive schemes available relative to the location and registration of the proposed business activity.
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 in to the decision. Will the project be export of or domestic oriented? Is 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.
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.
25% of the total project cost in paid-up capital or inward remittance
Outline of Project
5yr financial outline
Submission of Application
Evaluation of Application
Presentation to PEZA Board
Registration can be accomplished very quickly depending on the availability of the PEZA Board. Exact Incentives varying 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.