• 2 days ago
President Marcos signed on Monday, Nov. 11, the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act, which, he said, is "a decisive step" towards a globally competitive and investment-led Philippine economy. (Courtesy of RTVM)

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Transcript
00:00Thank you, Mr. President.
00:14We have taken a decisive step towards our vision of a globally competitive and investment-led
00:20Philippine economy.
00:21The signing of the corporate recovery and tax intensives for enterprise to maximize
00:28opportunities for reinvigorating the economy – a bit of a mouthful, so we'll just
00:33refer to it as the Create More Act – is a resounding testament of our commitment to
00:39make the Philippines the destination of choice for investments.
00:44Through this law, we seek to attract both domestic – and this is an important point
00:48– both domestic and global investments, focusing on strategic industries that will
00:54shape our future.
00:56Create More sets the stage for a business landscape that empowers our enterprises and
01:03enhances their growth prospects.
01:05By building on the reforms initiated through the Create Act, we have enhanced our tax regime,
01:13incentive framework, and making it more inviting for investment, while remaining steadfast
01:19in the principles of fiscal prudence and stability.
01:24Create More clarifies the rules of availment of VAT and duty incentives, and further extends
01:30its coverage to include non-registered exporters and high-value domestic market enterprises.
01:38Create More expands the enhanced deductions regime, offering greater tax relief to RBEs.
01:46Key benefits include the reduction in the income tax rate to 20 percent from 25 percent,
01:52a doubling of additional deductions on power expenses, which will significantly cut costs
01:57for the manufacturing sector, and an additional 50 percent deduction for tourism reinvestments
02:04and trade fair expenses.
02:06Likewise, this law provides tax or duty exemption on donations of capital equipment, raw materials,
02:14spare parts, or accessories to the government and GOCCs, TESDA, state universities and colleges,
02:22and DEPED or CHED-accredited schools as well.
02:26Create More refines our incentive structure, empowering us to remain competitive and agile
02:32in the face of emerging global shifts.
02:36It provides flexibility in the grant of fiscal and non-fiscal incentives, offering registered
02:43businesses the option to directly avail of the special corporate income tax rate, or
02:49the enhanced deductions regime, at the start of commercial operations.
02:55In recognition of emerging work arrangements globally, this legislation also provides RBEs
03:01the flexibility to implement work-from-home arrangements for up to half of their workforce,
03:07all without jeopardizing their eligibility for incentives.
03:11By doing this, we position the Philippines as a forward-thinking, agile economy, one
03:17that is ready to meet the demands of the digital age.
03:21As we open new doors of opportunity, we drive businesses to reinvest their capital, build
03:27upon the workforce, and initiate a ripple effect that will be felt across generations.
03:34This will not be possible without the expertise of our legislators who work tirelessly to
03:40refine Create More's provisions and to ensure its timely passage.
03:45We cannot emphasize enough the important role of the business sector in shaping this law.
03:52Your feedback has been essential in our efforts to craft policies that make our country truly
03:58competitive on the global stage.
04:01Create More is tangible proof that we hear and respond to the voices of the business
04:07community.
04:08This reaffirms our commitment to work hand-in-hand with enterprise, continually seeking avenues
04:15to make your investments grow and prosper.
04:18To our investors and development partners, let this be our pledge.
04:22The Bagong Pilipinas continues to foster an economy where businesses and investments remain
04:29at the heart of our progressive development.
04:32Maraming maraming salamat sa ating mga legislator, maraming maraming salamat sa ating mga private
04:38sector stakeholders, maraming salamat sa lahat ng mga ekspeto na nagbigay ng kanilang
04:44panahon at nagtrabaho upang maipasan natin itong napakahalaga na batas na ito.
04:51Maraming salamat at mabuhay ang Bagong Pilipinas.

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