Deadline all the time

breaking news stories, photos, and video

VAT eyed as subsidy for power cost of exporters outside PEZA

leave a comment »

By Joel Guinto
INQUIRER.net
First Posted 16:46:00 09/11/2008

MANILA, Philippines — The government is considering using the Value Added Tax (VAT) collections to subsidize the electricity cost of export firms operating outside economic zones, Trade Secretary Peter Favila said.

Another option is to ask the National Power Corp. (Napocor) to shoulder the subsidy, Favila told a news conference in Malacañang.

Favila did not say how much the subsidy would be, but in an earlier Cabinet meeting, President Gloria Macapagal-Arroyo said she was willing to provide a P1-bilion development fund for exporters to spur job creation.

“One [option] is to tap what [Finance] Secretary Teves is putting in place. This is the industry competitiveness fund. Where will this be sourced? The VAT collections,” Favila said.

“This is being worked out. We are committed to deliver on that appeal [from] export enterprises outside eco zones,” he added.

Firms operating inside Philippine Economic Zone Authority (PEZA) zones enjoy lower power rates.

View article as posted on INQUIRER.net

Advertisements

Written by joelguinto

ThuUTC2008-09-11T09:11:09+00:00UTC09bUTCThu, 11 Sep 2008 09:11:09 +0000 22, 2006 at 12:45 am09

Posted in Uncategorized

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: