The Philippines has taken a major step in its economic revitalization efforts with the signing of the Implementing Rules and Regulations (IRR) for the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act. Finance Secretary Ralph G. Recto said this development sends a clear message that the country is ready to compete on a global scale, offering stability and an investment-friendly environment.
Enacted in November 2024, the CREATE MORE Act is designed to make the Philippines a more attractive destination for business by creating a globally competitive, predictable, and accountable tax incentive system. The IRR, signed by Secretary Recto and Department of Trade and Industry Secretary Ma. Cristina Aldeguer-Roque, refines the Act’s provisions for smoother implementation.
The IRR clarifies guidelines for businesses already registered under the pre-CREATE regime and ensures that these enterprises can continue enjoying their previous tax incentives. New businesses under CREATE MORE can also access additional incentives, enhancing the country’s appeal to investors. Furthermore, it introduces specific guidelines for VAT zero-rating eligibility, providing more transparency and certainty for businesses.
In a bid for fiscal responsibility, the IRR includes provisions to prevent the double registration of projects and mandates the FIRB to evaluate the impact of incentives, ensuring that the benefits outweigh the costs.
Secretary Recto stressed that the government’s commitment is not only to attract investments but to ensure they thrive in the Philippines, generating high-quality jobs and improving the standard of living for Filipinos. The government is seeking continued collaboration with the business sector to achieve these goals and secure long-term economic growth.
The signing ceremony, held on 17 February 2025, was attended by key government officials, including Senator Sherwin T. Gatchalian and other members of the Fiscal Incentives Review Board.
