FIRB to harmonize IPA fee schedules for tax incentives

The Fiscal Incentives Review Board (FIRB) has directed all investment promotion agencies (IPAs) to submit their fee schedules for services related to tax incentives to harmonize collections.

This initiative aims to ensure that rates charged by IPAs to registered business enterprises (RBEs) for tax incentive administration are just and reasonable.

The FIRB wants to evaluate the fees collected by IPAs as part of its expanded policy-making and oversight functions under the Corporate Recovery and Tax Incentive for Enterprises (CREATE) law.

Finance Secretary and FIRB Chairman Carlos Dominguez III stated that the rationalization of fees ensures equity and shared responsibility between the government and its stakeholders.

Guidelines for harmonizing these charges will be drafted based on the cost recovery principle, subject to a reasonable rate of return, and will also consider revenue implications.

The FIRB will coordinate closely with IPAs in the development of this new policy.