The Authority Of Freeport Area Of Bataan (AFAB)
Background
The Authority of Freeport Area of Bataan (AFAB) is a body of corporate created under and existing by virtue of Republic Act No. 9728, or “The Freeport Area of Bataan (FAB) Act of 2009.” Under the same law, the former Bataan Economic Zone (BEZ), which was then under the Philippine Economic Zone Authority (PEZA), was converted into FAB, a special economic zone and Freeport area. The AFAB took over the administration and operations of BEZ from the PEZA. Pursuant to AFAB’s mandate under its Charter, it has actively promoted socio-economic development to improve the level and quality of living condition in the region. AFAB’s primary aim is to generate employment through the attraction of legitimate and productive foreign investments and …show more content…
By granting incentive packages, House Bills (HB) 231 and 3359 both titled “An Act Rationalizing the Grant and Administration of Fiscal Incentives and For Other Purposes”, seek to induce greater marketability of the Philippines as an international economic center.
The rationalization of the tax regime is understandable. However, this might deter investment from foreign countries. Fiscal incentives create favourable situations for increase in the amount of foreign investment; at least while the business is recovering its capital expenditures. FDIs will bring in technology transfer, capital, employment and development in the country. The AFAB believes that the benefits of the FDI, employment generation and improved infrastructures outweigh the problems associated with foregone revenue. This being said, AFAB pushes for the application of existing policy but supports the amendment in the tax incentive policy while urging the House of Representatives to retire clauses so that the positive effects do not go unchecked. – MEDYO …show more content…
The latter provision states that, “the registered enterprises operating within the FAB, may at their option, avail of existing pertinent fiscal incentives as provided for under Republic Act No. 7916, as amended by republic Act No. 8748, also known as the Special Economic Zone Act of 1995, or those provided under Executive Order No. 226, as amended, otherwise known as the Omnibus Investment Code of 1987.” Thus, prospective FAB locators have the option to avail either BOI-like incentives or PEZA-like incentives, which element AFAB believes as the main appeal of FAB’s marketability to
The Authority of Freeport Area of Bataan (AFAB) is a body of corporate created under and existing by virtue of Republic Act No. 9728, or “The Freeport Area of Bataan (FAB) Act of 2009.” Under the same law, the former Bataan Economic Zone (BEZ), which was then under the Philippine Economic Zone Authority (PEZA), was converted into FAB, a special economic zone and Freeport area. The AFAB took over the administration and operations of BEZ from the PEZA. Pursuant to AFAB’s mandate under its Charter, it has actively promoted socio-economic development to improve the level and quality of living condition in the region. AFAB’s primary aim is to generate employment through the attraction of legitimate and productive foreign investments and …show more content…
By granting incentive packages, House Bills (HB) 231 and 3359 both titled “An Act Rationalizing the Grant and Administration of Fiscal Incentives and For Other Purposes”, seek to induce greater marketability of the Philippines as an international economic center.
The rationalization of the tax regime is understandable. However, this might deter investment from foreign countries. Fiscal incentives create favourable situations for increase in the amount of foreign investment; at least while the business is recovering its capital expenditures. FDIs will bring in technology transfer, capital, employment and development in the country. The AFAB believes that the benefits of the FDI, employment generation and improved infrastructures outweigh the problems associated with foregone revenue. This being said, AFAB pushes for the application of existing policy but supports the amendment in the tax incentive policy while urging the House of Representatives to retire clauses so that the positive effects do not go unchecked. – MEDYO …show more content…
The latter provision states that, “the registered enterprises operating within the FAB, may at their option, avail of existing pertinent fiscal incentives as provided for under Republic Act No. 7916, as amended by republic Act No. 8748, also known as the Special Economic Zone Act of 1995, or those provided under Executive Order No. 226, as amended, otherwise known as the Omnibus Investment Code of 1987.” Thus, prospective FAB locators have the option to avail either BOI-like incentives or PEZA-like incentives, which element AFAB believes as the main appeal of FAB’s marketability to