COMPANIES IN Mandaue City registered with the Philippine Economic Zone Authority (PEZA) will be up for inspection to ensure that they have not shifted to other businesses that do not merit tax holidays. The Mandaue City council has passed a resolution authored by Councilor Jimy C. Lumapas requesting the local government to review all PEZA-registered establishments and recall the tax holiday of those that do not meet PEZA objectives. The resolution was passed after the city government received reports that some business establishments that have been granted PEZA accreditation and been enjoying tax holidays in Mandaue are shifting to other business ventures outside of the mandated export-oriented and information technology-related requirement. Under the Special Economic Zone Act, business establishments duly registered with PEZA are entitled to income and the local tax holiday. “The tax holidays made easily available to establishments within the ecozones prompted other business establishments to seek favorable consideration from this August Body, as a Resolution to that effect will form part to their PEZA application,” a portion of Mr. Lumapas’ resolution reads. — The Freeman

RELATED ARTICLESMORE FROM AUTHOR