Iloilo City sets tax incentives for new investment zones
THE ILOILO City government is giving tax incentives to investors that will set up shop in areas identified as new growth zones.
“Businesses that will settle along road networks in the metropolis identified as investment hubs” will be able to avail of tax discounts over a certain number of years, the city government said in a statement.
The areas include the entire stretch of the “Circumferential, Coastal and Radial roads” as defined in earlier regulations issued by the local government.
Under Regulation Ordinance No. 2021-196 providing for The Iloilo City Investment Incentives for Specific Areas of Development, qualified businesses are those with an investment of at least P5 million.
The applicable tax holidays are 100% on the first year, 75% on second year, and 50% on the third year of operation.
Investments of P5 million to less than P40 million are entitled to the incentive for one year; P40 million to less than P100 million for two years; and P100 million and above for three years.
The identified investment priority sectors include manufacturing and processing; export-oriented; tourism; and utility companies engaged in power generation and distribution, water, transportation, and transportation support facilities.
Other priority areas are information and communication; agri-fishery; social services and facilities such as health care service and educational institution; commercial and industrial buildings; solid waste management and disposal system; and research and development and innovation start-up companies.
Mayor Jerry P. Treñas initiated the additional incentives to boost economic revival amid the continuing coronavirus pandemic.
