The Department of Trade and Industry plans to sweeten the incentives given to foreign investors by adding another year of income tax holiday.
Trade Secretary Ramon Lopez said in a webinar Tuesday the government was willing to extend the ITH by a year in response to calls for support from the export industries.
“I said we do incentivize them not to remove workers,” he said during the webinar “Rebuild PH: Revitalizing Business, Investments, Livelihoods and Domestic Demand” organized by the Norsic Chamber of Commerce of the Philippines.
Under the Corporate Recovery and Tax Incentives for Enterprises bill, the DTI proposed to grant investors 2 to 4 years of ITH on category-specific activities.
The additional one-year extension, if approved, will give investors a maximum of five years of ITH.