Subic Freeport gains from CREATE MORE

Subic Bay Freeport — “This premier Freeport is now prepped and ready to become a prime area for global investments.”

This was the statement made by Subic Bay Metropolitan Authority (SBMA) chairman and administrator Eduardo Jose L. Aliño on Friday as government agencies have signed the implementing rules and regulations (IRR) of the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act.

Finance Secretary and Fiscal and Incentives Review Board (FIRB) chair Ralph Recto, and Department of Trade and Industry (DTI) Secretary and FIRB co-chair Ma Cristina Roque signed the IRR for the CREATE MORE Act or Republic Act 12066 at the Department of Finance on 17 February 2025.

Present during the signing rites were Senator Sherwin Gatchalian, and FIRB Board Members Special Assistant to the president for Investment and Economic Affairs Secretary Frederick Go and National Economic and Development Authority Secretary Arsenio Balisacan.

“Now that the IRR for the CREATE MORE Act is signed, its back to work for us here in Subic Bay Freeport as we can now expect more foreign companies to invest here. This is certainly monumental since the IRR clarifies and refines the provisions the law’s smooth implementation,” Aliño added.

The official cited that the CREATE MORE Act includes provisions for investors, giving them the options to choose the Special Corporate Income Tax of 5 percent or Enhanced Deductions.

Perks to flow

He said that more incentives will also be given to high value investments with a capital of more than P15 billion and in sectors that are considered import-substituting or export sales.

He added that the CREATE MORE Act also provides additional relief to RBEs by reducing the CIT rate to 20 percent from 25 percent, with the law increasing the additional deduction on electricity from 50 percent to 100 percent.

“Tourism-related investments in Subic Bay Freeport will also benefit from the CREATE MORE Act, with the SBMA providing additional 50 percent deduction for expenses related to trade fairs and tourism reinvestments until 2034,” Aliño said.