The Corporate Recovery and Tax Incentives for Enterprises Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act is a “game-changing” legislation poised to transform the Philippine economic landscape that would strengthen the country’s position as an attractive investment destination through significant tax incentives and regulatory reforms.
In a statement, the Department of Trade and Industry (DTI) said the newly signed law would transform the Philippine economy by boosting investor confidence “and driving long-term growth by making the business environment more transparent, efficient, and predictable.”
“This law marks a critical turning point in the Philippines’ economic development, underscoring our dedication to building a thriving and globally competitive business landscape,” DTI said.
Republic Act (RA) 12066, or the CREATE MORE Act, was signed by President Ferdinand R. Marcos Jr. on Monday. It makes the Philippines’ tax incentives regime more globally competitive, investment-friendly, predictable, and accountable.
These incentives include reduced corporate income tax rates and enhanced deductions to boost investor profitability.
The DTI also highlighted that the streamlined value-added tax (VAT) procedures would facilitate easier compliance and lessen administrative burdens for foreign businesses.
“Together, these incentives are designed to stimulate foreign direct investment, leading to job creation, infrastructure development and technological advancement within the country. The CREATE MORE law signals to the international business community that the Philippines is open for business and committed to providing investors a supportive and rewarding environment,” DTI said.
The DTI said vital provisions, such as VAT zero-rating and duty exemptions for export-oriented companies, are expected to enhance the country’s export competitiveness.
The DTI vowed to work with all stakeholders to ensure the law’s success and establish the Philippines as a “leading economic powerhouse in the region.”