SBMA Pursues Similar Inducements for Olongapo firms

SBMA administrator Armand Arreza said the perks would include fiscal incentives such as sales tax and 5-percent gross income tax.

A talk was done with Olongapo City officials that will allow companies enjoy some incentives under Executive Order 675.

And to support the said program, President Gloria Macapagal Arroyo signed the order expanding the area where tax and duty-free privileges for free port zones would apply.

The system will be similar to that employed by the Philippine Economic Zone Authority, which registers and grants perks to investors in privately-owned economic zones.

SBMA offers tax and duty-free importation, exemption from all local and national taxes, 5-percent corporate tax on gross income and unrestricted entry of foreign investments.

To have control in the program, businesses wanting to avail of the perks must be endorsed by the Olongapo City government to the SBMA. [via]