The Board of Investments (BOI) said its fiscal incentives are already aligned with the second package of the Comprehensive Tax Reform Program (CTRP) of the Duterte administration.
The CTRP package 2, which follows the Tax Reform for Acceleration and Inclusion Act, is pushing for reforms in corporate-income tax and fiscal incentives.
It involves rationalizing the fiscal incentives given by the country’s investment-promotion agencies (IPAs), such as the BOI.
Trade Undersecretary and BOI managing head Ceferino S. Rodolfo said perks provided by the agency to the investors are already time-bound, focused and performance-based.
Rodolfo added the BOI only provides registered investors four years of income-tax holiday, which can be extended to a maximum of two years.
Its incentives are also focused on industries identified under the Investment Priority Plan, a list of preference investment activities, which may be given tax perks.
The trade official said the BOI evaluates every project registered with the IPA to ensure that the company is complying with its commitments before further endorsing for tax perks to the Bureau of Internal Revenue (BIR).