QC approves 2-year tax exemptions for new medium, large businesses
Mayor Joy Belmonte meets members of QC PTA officers and members
MANILA, Philippines – Quezon City Mayor Joy Belmonte has approved an ordinance updating the incentives provided to medium and large enterprises as part of ongoing efforts to further propel the city’s economic growth and development.
Belmonte signed Ordinance No. SP-3296, S-2024, amending Ordinance No. SP-2219, S-2013, to offer better and more customized fiscal incentive packages to medium to large businesses in the city.
The Ordinance was introduced by Councilors Wency Lagumbay, Doray Delarmente, Banjo Pilar, and Chuckie Antonio.
Mayor Belmonte with hundreds of small scale entrepreneurs
“We have implemented necessary changes to the incentives we provide to medium and large enterprises as part of our ongoing efforts to attract more businesses and investors to channel their resources, expand or relocate their activities in the City to strengthen local economic progress,” Belmonte said.
Under the ordinance, new medium and large enterprises with an asset size of above Php 15 million excluding land value, may apply for a two-year exemption from business tax, amusement tax, franchise tax, and real property tax on registered land and new buildings constructed within two years from registration.
Article continues after this advertisementAn additional year of exemption will be given if a newly registered enterprise is engaged in a business listed in the latest Investment Priorities Plan of Quezon City such as circular and sustainable infrastructure, creative economy and industry, inclusive economy, and innovation and development.
Article continues after this advertisementBusinesses planning to expand or establish a new branch in Quezon City can benefit from a two-year exemption from business tax, amusement tax, franchise tax, and real property tax on registered lands and new buildings constructed within two years of the registration of the office or additional branch.
Businesses relocating their principal offices to Quezon City may receive a 10-year tax exemption from situs tax for all their gross sales outside of Quezon City.
The Ordinance also provides incentives to loyal businesses that have maintained their principal office in Quezon City for 15 years, giving them a 10-percent discount on their situs tax for all gross sales outside of Quezon City for one year.
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Businesses seeking to avail of these incentives must register with the Local Economic Investment Promotions Office (LEIPO), subject to the approval of the QC-Economic Development and Investments Board.
The LEIPO is also responsible for monitoring compliance with the ordinance and ensuring its proper implementation.
