Hotels want tax breaks for NCR, Cebu, Boracay tourism projects restored

The Philippine Hotel Federation, Inc. is urging the repeal of a resolution by the Board of Investments (BoI) that limits incentives for new tourism projects in Metro Manila, Cebu, Mactan and Boracay. In a position paper published in newspapers Monday, the federation asked the government to revoke  BoI Regulation number 2013-001, approved on March 5 this year, which imposes “locational restrictions and granting very limited incentives to projects on accommodation establishments located in the four major tourism areas..." It requested that the incentives be retained "until such time as the [Tourism Infrastructure and Enterprise Zone Authority] is able to implement its mandate and provide the pertinent incentives that would sustain the tourism industry in our country." The BoI approved the removal of income tax holidays for tourism projects in the four areas as they are already developed and at full capacity. The projects will only be allowed the duty-free importation of equipment. The regulation was effective immediately but will not be imposed retroactively on existing projects. The Philippine Hotel Federation is composed of representatives from large hotel chains including the Shangri-La Group, Pan Pacific Hotel, Holiday Inn, El Nido, Ascott Hotels, The Heritage Hotel, Manila Peninsula, the Waterfront Group and Hotel Intercontinental. — BM, GMA News