The Fiscal Incentives Review Board (FIRB) is the government body authorized to grant tax incentives (i.e., tax discounts and exemptions) to registered business enterprises (RBEs).
Its goal is to ensure that the tax incentives granted are performance-based, time-bound, targeted, and transparent.
What is the Fiscal Incentives Review Board’s Structure under CREATE?
Pursuant to RA No. 11534, otherwise known as the “Corporate Recovery and Tax Incentives for Enterprises” (CREATE) Act, the powers and functions of the FIRB are enhanced as part of its oversight mandate. The FIRB structure under CREATE ensures that apart from tax subsidies, tax incentives are also granted and monitored properly by relevant agencies.
What are the Tax Incentives Available?
Business enterprises registered with the investment promotion agencies may apply for incentives under the single menu provided under CREATE, which include the following:
4 to 7 years of income tax holiday,
10 years of special corporate income tax for export enterprises,
Customs duty exemption on importation,
VAT exemption on importation and VAT Zero-Rating on local purchases.
Businesses looking to apply for incentives may approach any one of the investment promotion agencies or IPAs. They maintain their key investment promotion functions and powers under their respective charters.
Under FIRB supervision, IPAs enjoy a delegated authority to grant tax incentives for registered projects or activities with investment capital of P1 billion and below in order to facilitate the speedy approval of applications.
Visit 𝗳𝗶𝗿𝗯.𝗴𝗼𝘃.𝗽𝗵/ to learn more about the expanded functions of the FIRB, available incentives, and eligible enterprise activities. You may also contact the FIRB Secretariat at 𝗳𝗶𝗿𝗯𝘀𝗲𝗰𝗿𝗲𝘁𝗮𝗿𝗶𝗮𝘁@𝗻𝘁𝗿𝗰.𝗴𝗼𝘃.𝗽𝗵 for more information.