How A Peza-Accreditation Can Benefit Your Business
3/8/2018 | By Workspace In Asia
Advantages Of Being A Peza Member
Many foreign companies, entrepreneurs, and investors choose to offshore or outsource jobs to cut operational costs. To encourage investment into the country, the Philippine government provides benefits and incentives to foreign entities in the form of tax holidays and exemptions. And this is where PEZA comes into the picture.
What Is Peza?
PEZA is a Department of Trade and Industry agency created to promote investments into the Philippines. It provides assistance to foreign entities in facilitating business operations of investors within selected areas in the country, also called PEZA Special Economic Zones. (here's a list of accredited buildings in Makati and Bonifacio Global City) This agency is authorized to provide member companies these incentives.
- Income Tax Holiday for a certain number of years, which translates to 100% exemption from corporate income tax
- Tax and duty free importation of raw materials, capital equipment, machineries and spare parts
- Exemption from wharfage dues and export tax, impost or fees
- VAT zero-rating of local purchases subject to compliance with BIR and PEZA requirements
- Exemption from payment of any and all local government imposts, fees, licenses or taxes
- Exemption from expanded withholding tax
- Simplified Import-Export Procedures (Electronic Import Permit System and Automated Export Documentation System)
- Non-resident Foreign Nationals may be employed by PEZA-registered Economic Zone Enterprises in supervisory, technical or advisory positions
- Special Non-Immigrant Visa with Multiple Entry Privileges for the following non-resident
- Foreign Nationals in a PEZA-registered Economic Zone Enterprise : Investor/s, officers, and employees in supervisory, technical or advisory position, and their spouses and unmarried children under twenty-one years of age
- Extended Visa Facilitation Assistance to foreign nationals their spouses and dependents
Aside from these incentives, locating in a PEZA-accredited facility or area also ensures that doing business in the Philippines is smoother and easier. Not only do businesses save on taxes and fees, they also ensure that permits and other registration requirements are secured in a short span of time.
Apply For Peza-Accreditation Today
Maximize the perks and benefits of outsourcing and offshoring in the Philippines by applying for a PEZA-accreditation as soon as possible. To start your business in the Philippines, contact KMC Solutions. We can assist you in accomplishing the forms, presentation, and submission of other required documents to ensure that you get your accreditation as quickly as possible. Contact us here to know more about the perks and benefits of being a PEZA member.