Better incentives await medium, large businesses in QC

Manila: Medium and large enterprises in Quezon City will benefit from the enhanced incentives following the approval of a new ordinance by Mayor Joy Belmonte. On Thursday, the city government announced that Belmonte signed Ordinance No. SP-3296, S-2024, which updates and improves the city's business incentives program. The new ordinance amends Ordinance No. SP-2219, S-2013, also known as the Quezon City Economic Development Code of 2013. Belmonte said the updated ordinance offers tailored fiscal incentives to medium and large businesses, as part of the city's efforts to attract more investments and support economic growth. 'We have made necessary improvements to the incentives we provide to medium and large enterprises. This is part of our strategy to encourage businesses to expand, relocate, or channel their resources to Quezon City, contributing to the city's economic progress,' she said. Key incentives Under the ordinance, new medium and large enterprises with assets worth PHP15 million and above-exc luding land value-can apply for a two-year exemption from business taxes, amusement taxes, franchise taxes, and real property taxes on registered land and newly built buildings in Quezon City. Businesses can extend this exemption for another year if they engage in priority industries outlined in the city's latest Investment Priorities Plan. These industries include circular and sustainable infrastructure, creative economy, inclusive economy, and innovation-driven development. Companies that relocate their principal offices from outside Quezon City to within the city are eligible for a 10-year exemption on the situs tax for all gross sales generated outside of the city. Long-established businesses that have maintained their principal offices in the city for at least 15 years can also apply for a one-time 10 percent discount on their situs tax for gross sales outside the city. Registration, compliance Businesses seeking these incentives must register with the Local Economic Investment Promotions Office (LE IPO), subject to approval by the Quezon City Economic Development and Investments Board. LEIPO will also oversee compliance and ensure the proper implementation of the ordinance. Private entities that make donations of assets or services for any priority program of the city government may qualify for tax credits on business taxes due, provided they meet certain conditions. Source: Philippines News agency