Provincial Investment Incentive

South cotabato

Fiscal Incentives. – An Enterprise registered under this Code shall be exempt from payment of basic real property tax to the full amount of the share of the province on the basis of the amount of their investments and for the specified periods as follows:

For New Projects or Enterprises

With capitalization or investments of Three Million Pesos (P3,000,000.00) to Ten Million Pesos (P10,000,000.00) - Two (2) years
With capitalization or investments of more than Ten Million Pesos (P10,000,000.00) to Twenty Five Million Pesos (P25,000.000.00) - Three (3) years
With capitalization or investments of more than Twenty Five Million Pesos (P25,000.000.00) to Fifty Million Pesos (P50,000,000.00) - Four (4) years
With capitalization or investments of more than Fifty Million Pesos (P50,000,000.00) to One Hundred Million Pesos (P100,000,000.00) - Five (5) years
With capitalization or investments of more than One Hundred Million Pesos (P100,000,000.00) - Six (6) years

For Expanding Enterprise

With additional investments of Three Million Pesos (P3,000,000.00) to Ten Million Pesos (P10,000,000.00) - Two (2) years
With additional investments of more than Ten Million Pesos (P10,000,000.00) to Twenty Five Million Pesos (P25,000.000.00) - Three (3) years
With additional investments of more than Twenty Five Million Pesos (P25,000.000.00) to Fifty Million Pesos (P50,000,000.00) - Four (4) years
With additional investments of more than Fifty Million Pesos (P50,000,000.00) to One Hundred Million Pesos (P100,000,000.00) - Five (5) years
With additional investments of more than One Hundred Million Pesos (P100,000,000.00) - Six (6) years

For High Priority Projects or Industries

Which include Renewable Energy, Clean Water and Green Projects as defined in Section 5 of this Code.

With capitalization or investments of more than Ten Million Pesos (P10,000,000.00) to Twenty Five Million Pesos (P25,000.000.00) - Four (4) years
With capitalization or investments of more than Twenty Five Million Pesos (P25,000.000.00) to Fifty Million Pesos (P50,000,000.00) - Five (5) years
With capitalization or investments of more than Fifty Million Pesos (P50,000,000.00) to One Hundred Million Pesos (P100,000,000.00) - Six (6) years
With capitalization or investments of more than One Hundred Million Pesos (P100,000,000.00) to Two Hundred Million Pesos (P200,000,000.00) - Seven (7) years

With capitalization or investments of more than Two Hundred Million Pesos (P200,000,000.00) to Three Hundred Million Pesos (P300,000,000.00) - Eight (8) years
With capitalization or investments of more than Three Hundred Million Pesos (P300,000,000.00) to Five Hundred Million Pesos (P500,000,000.00) - Nine (9) years
With capitalization or investments of more than Five Hundred Million Pesos (P500,000,000.00) - Ten (10) years

For Expanding Enterprises (High Priority Projects or Industries)

With additional investments of more than Ten Million Pesos (P10,000,000.00) to Twenty Five Million Pesos (P25,000.000.00) - Four (4) years
With additional investments of more than Twenty Five Million Pesos (P25,000.000.00) to Fifty Million Pesos (P50,000,000.00) - Five (5) years
With additional investments of more than Fifty Million Pesos (P50,000,000.00) to One Hundred Million Pesos (P100,000,000.00) - Six (6) years
With additional investments of more than One Hundred Million Pesos (P100,000,000.00) to Two Hundred Million Pesos (P200,000,000.00) - Seven (7) years

With additional investments of more than Two Hundred Million Pesos (P200,000,000.00) to Three Hundred Million Pesos (P300,000,000.00) - Eight (8) years
With additional investments of more than Three Hundred Million Pesos (P300,000,000.00) to Five Hundred Million Pesos (P500,000,000.00) - Nine (9) years
With additional investments of more than Five Hundred Million Pesos (P500,000,000.00) - Ten (10) years

Provided that additional years of exemption shall be granted also to expanding registered enterprises when by reason of such additional investments the registered enterprise falls under a higher bracket in which case it shall enjoy the exemption for that bracket, which period shall include the period of exemption granted prior to the expansion and provided further, that additional years of exemption may be granted only upon application with and approval of the Board.

Other Fiscal Incentives

Registered enterprises shall also be granted exemption from the payment of Transfer Tax on acquired properties to be directly utilized in the business upon application for transfer.

General Policies in the Administration of Incentives.

The grant of incentives shall be governed by the following general policies:

The grant of local tax exemptions shall not extend to fees and charges imposed for services rendered by the Province and those levied for the use of government facilities and properties;
Incentives granted shall take effect from the Date of Registration until the lapse of the term of such incentive, unless another reckoning date is approved by the Board on justifiable grounds, but in no case beyond six (6) months from the Date of Registration;
In case of change of ownership, the incentives which the registered enterprise is enjoying shall be continued provided that the terms and conditions of its registration are assumed by the new owner/s. Any change in the controlling shareholders, ownership, or name of a Registered Enterprise shall be reported to the Board. In case of change of trade name and/or ownership, the enterprise shall file for registration together with a filing fee of One Thousand Five Hundred Pesos (PhP 1,500.00) for the continuance of incentives; and
Real Property Tax (RPT) Exemption covers buildings, machinery and equipment and other real properties, otherwise subject to real property tax, used directly in the registered activity of a Registered Enterprise. Land shall only be exempt from real property tax if the same is owned by the Registered Enterprise and only to the extent that the same is actually and exclusively used in the registered activity. The real property tax exemption herein provided shall exclude the Special Education Fund (SEF).

Non-Fiscal Incentives

The Board, through the SCEIPC ,shall provide the following non-fiscal incentives to Registered Enterprises:

Assistance in site selection and negotiation for right of way;

Joint venture partner identification, partner referral, and identification of possible source of required labor and raw materials;
Networking with concerned national agencies such as the Technical Education Skills and Development Authority (TESDA) and other similar institutions for training of workers to enhance manpower skills of the enterprise and assistance in identifying and sourcing of skilled human resources;
Facilitation and/or referral of existing technical and financial assistance programs available through national and local government, and financing institutions;
Access to information pertaining to resources, documents, data and other related information including databank on industries and businesses and the areas of trade, industry and business potentials available in the province; and
Such other aftercare services that may be accorded to investors that are necessary in the promotion of local investment and economic development.

Province of South Cotabato