TIEZA OKs perks for Solaire Cruise Center, Iloilo hotel

MANILA, Philippines — The Tourism Infrastructure and Enterprise Zone Authority (TIEZA) has designated Solaire Cruise Center and Yacht Harbor as a new tourism enterprise zone (TEZ) and Citadines-Amigo as a registered tourism enterprise (RTE).

Solaire Cruise Center and Yacht Harbor is a 19.73-hectare development that is set to launch the Manila Cruise Port Project targeted to be completed and operational in 2021.

In May last year, TIEZA reported that it has forwarded the proposal of Bloomberry Resort Corp.’s Sureste Properties Inc. (SPI) for the development of the Solaire Cruise Center(SCC) to the Office of the President during a meeting with President Duterte.

The proposal includes marine and terminal facilities, homeport and port-of-call operations, an expanded harbor offering dining, shopping, entertainment and maritime recreation, and walkable esplanades and plazas.

Meanwhile, Citadines-Amigo RTE is located in Iloilo City and was formerly the Amigo Terrace Hotel.

“Citadines-Amigo is an existing accommodation enterprise that will undergo significant upgrade and expansion located outside a designated TEZ under RA 9593,” TIEZA said.

The hotel is undertaking a substantial upgrade and expansion, projecting 121 units upon completion. Of the total of 121 rooms, 56 rooms will be dedicated for long staying guests.

“Being the infrastructure arm and investment promotion agency of the Department of Tourism (DOT) for 10 years now, the authority is continuously eyeing to attract more investments after the administration and grant of fiscal incentives to TEZ operators and RTEs has been extended until Dec. 31, 2029 through the enactment of RA 11262,” TIEZA said.

Among the incentives to be granted to TEZ developers and tourism enterprises include a six-year income tax holiday that may be extended for another six years, a five percent preferential tax on gross income in lieu of national taxes except for real property tax and fees of TIEZA, a net operating loss carry over scheme, import tax exemptions for capital goods and equipment needed for TIEZA-registered activities, and import tax exemptions for transport equipment and spare parts needed for TIEZA-registered activities.

They will also be exempted from value-added tax and excise tax goods imported by TIEZA-registered activities, tax credit equivalent to taxes paid on locally sourced goods, and tax deduction of up to 50 percent of cost of environmental protection and cultural heritage preservation activities as well as of sustainable livelihood programs of the registered tourism enterprises.

“Now that the sunset provision has been finally extended until 2029, TEZ operators and locators no longer need to worry about matters related to the availment of TIEZA’s incentives,” TIEZA chief operating officer Pocholo Paragas said.

“This is also great news for TIEZA  as the incentives we offer are more than necessary to continuously  attract investments, generate employment and promote inclusive growth  for our country,” he said.