By EUGENE ADIONG
BACOLOD City — The Negros First CyberCentre has been declared an Information Technology (IT) Center Special Economic Zone and thus registered with the Philippine Economic Zone Authority (PEZA).
PEZA director general Lilia de Lima the other day turned over to Gov. Alfredo Marañon Jr. the CyberCentre’s certificate of registration, pursuant to Presidential Proclamation No. 802, dated June 11, 2014, and signed by President Benigno Aquino III.
“PEZA will now start promoting the CyberCentre to investors,” de Lima said.
Councilor Jocelle Batapa–Sigue, provincial government consultant for IT, said that once the CyberCentre is registered as a special economic zone for IT enterprises (ITEs), ITEs locating in it will enjoy:
- income tax holiday (ITH) – 100 percent exemption from corporate income tax
- four-year ITH for non-pioneer project; and
- six-year ITH for pioneer project.
Investors at the CyberCentre can also enjoy “tax- and duty-free importation of equipment and parts, exemption from wharfage dues on import/shipment of equipment, VAT (value added-tax) zero-rating of local purchases of goods and services, including land-based telecommunications, electrical power, water bills and lease on the building, subject to compliance with Bureau of Internal Revenues and PEZA requirements,” Sigue told Panay News in an e-mail.
“They can also be exempted from payment of any and all local government imposts, fees, licenses or taxes,” she said.
She added: “However, while under income tax holiday, (there is) no exemption from real estate tax, but the machineries installed and operated in the economic zone for manufacturing, processing or for industrial purposes shall not be subject to payment of real estate taxes for the first three years of operation. Production equipment not attached to the real estate shall be exempt from real property taxes, (too).”
Sigue said companies operating at the CyberCentre will also be exempted from expanded withholding tax./PN
