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    SEC 23 & 24, RA 7916 SEC. 23. Fiscal Incentives. - Business Establishments Operating Within The

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    Frances Ann Teves
    This document discusses tax exemptions and incentives for businesses operating in ecozones and export processing zones under relevant laws and regulations: 1. Businesses in ecozones are entitled to fiscal incentives under PD 66 and EO 226, and tax credits for exporters using local materials. 2. Except for real property taxes, businesses in ecozones are exempt from national and local taxes. Instead, 5% of gross income is paid - 3% to the national govt and 2% directly to local treasurers. 3. Zone enterprises are exempt from local taxes/fees and 50% of real estate taxes collected from zone properties are remitted to zone authorities to fund community facilities.

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    SEC 23 & 24, RA 7916 SEC. 23. Fiscal Incentives. - Business Establishments Operating Within The

    Uploaded by

    Frances Ann Teves
    43 views2 pages
    This document discusses tax exemptions and incentives for businesses operating in ecozones and export processing zones under relevant laws and regulations: 1. Businesses in ecozones are entitled to fiscal incentives under PD 66 and EO 226, and tax credits for exporters using local materials. 2. Except for real property taxes, businesses in ecozones are exempt from national and local taxes. Instead, 5% of gross income is paid - 3% to the national govt and 2% directly to local treasurers. 3. Zone enterprises are exempt from local taxes/fees and 50% of real estate taxes collected from zone properties are remitted to zone authorities to fund community facilities.

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    Provisions Tax

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    This document discusses tax exemptions and incentives for businesses operating in ecozones and export processing zones under relevant laws and regulations: 1. Businesses in ecozones are entitled to fiscal incentives under PD 66 and EO 226, and tax credits for exporters using local materials. 2. Except for real property taxes, businesses in ecozones are exempt from national and local taxes. Instead, 5% of gross income is paid - 3% to the national govt and 2% directly to local treasurers. 3. Zone enterprises are exempt from local taxes/fees and 50% of real estate taxes collected from zone properties are remitted to zone authorities to fund community facilities.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    43 views2 pages

    SEC 23 & 24, RA 7916 SEC. 23. Fiscal Incentives. - Business Establishments Operating Within The

    Uploaded by

    Frances Ann Teves
    This document discusses tax exemptions and incentives for businesses operating in ecozones and export processing zones under relevant laws and regulations: 1. Businesses in ecozones are entitled to fiscal incentives under PD 66 and EO 226, and tax credits for exporters using local materials. 2. Except for real property taxes, businesses in ecozones are exempt from national and local taxes. Instead, 5% of gross income is paid - 3% to the national govt and 2% directly to local treasurers. 3. Zone enterprises are exempt from local taxes/fees and 50% of real estate taxes collected from zone properties are remitted to zone authorities to fund community facilities.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
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    1.

    SEC 23 & 24, RA 7916

    SEC. 23. Fiscal Incentives. – Business establishments operating within the


    ECOZONES shall be entitled to the fiscal incentives as provided for under
    Presidential Decree No. 66, the law creating the Export Processing Zone
    Authority, or those provided under Book VI of Executive Order No. 226,
    otherwise known as the Omnibus Investment Code of 1987.

    Furthermore, tax credits for exporters using local materials as Inputs shall
    enjoy the same benefits provided for in the Export Development Act of 1994.

    SEC. 24. Exemption from National and Local Taxes.- Except for real
    property taxes on land owned by developers, no taxes, local and national,
    shall be imposed on business establishments operating within the ECOZONE.
    In lieu thereof, five percent (5%) of the gross income earned by all business
    enterprises within the ECOZONE shall be paid and remitted as follows:

    a. Three percent (3%) to the National Government;

    b. Two percent (2%) which shall be directly remitted by the business


    establishments to the treasurer’s office of the municipality or city where the
    enterprise is located.

    2. ART 78, BOOK VI, EO 226


    Article 78. Additional Incentives. A zone registered enterprise shall also
    enjoy all the incentive benefits provided in Article 39 hereof under the same
    terms and conditions stated therein. In addition zone registered enterprises
    shall also be entitled to the following:

    (a) Exemption from Local Taxes and Licenses. Notwithstanding the


    provisions of law to the contrary, zone registered enterprise shall, to the
    extent of their construction, operation or production inside the zone be
    exempt from the payment of any and all local government imposts, fees,
    licenses or taxes except real estate taxes which shall be collected by the
    Province/City/Municipality responsible for the collection thereof under the
    provisions of the Real Property Tax Code: Provided, That machineries owned
    by zone registered enterprises which are actually installed and operated in
    the Zone for manufacturing, processing or for industrial purposes shall not
    be subject to the payment of real estate taxes for the first three (3) years of
    operation of such machineries: Provided, further, That fifty percent (50%) of
    the proceeds of the real estate taxes collected from all real properties
    located in the Zone and such other areas owned or administered by the
    Authority shall be remitted to the Authority by the province/city/municipality
    responsible for the collection of such taxes under the provisions of the Real
    Property Tax Code. All real estate taxes accruing to the Authority as herein
    provided shall be expanded for such community facilities, utilities and/or
    services as the Authority may determine.

    (b) Production equipment or machineries, not attached to real estate,


    used directly or indirectly, in the production, assembly or manufacture of the
    registered product of the zone registered enterprise shall be exempt from
    real property taxes.

    3. SECTION 131 (1) OF RA 7160


    Section 131. Definition of Terms. - When used in this Title, the term:
    (l) "Fee" means a charge fixed by law or ordinance for the regulation or
    inspection of a business or activity;

    4. SECTION 68 ORDINANCE NO. 125

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