Published on 23 May 2013 [ manilatimes.net
]
Written by RITCHIE A. HORARIO
VICE
President Jejomar Binay and Finance Secretary Cesar Purisima are clashing over
the latter’s move to put off mass housing on a list of businesses that can
enjoy tax incentives.
In opposing
Purisima’s proposal, Binay, who is also the country’s housing czar, maintained
that mass housing projects still need tax and other incentives.
“As far as I
am concerned, yes,” said Binay, who chairs the Housing and Urban Development
Coordinating Council, when asked if tax perks for mass housing are still
necessary.
Purisima
earlier proposed the removal of mass housing from this year’s investment
priorities plan (IPP), an annual list of business activities that could enjoy
tax incentives.
Under the
proposed guidelines of the 2013 IPP, new mass housing projects outside the
National Capital Region (NCR or Metro Manila) and Metro Cebu will be entitled
to a three-year income tax holiday (ITH).
Meanwhile,
new and expansion projects within the NCR and Metro Cebu will have a two-year
ITH. This is shorter than the usual four- to eight-year ITH given to other
projects.
Besides the
mass housing, Purisima has also proposed removing iron and steel, motor vehicle
manufacturing and shipbuilding from the business activities eligible for
incentives under the 2013 IPP.
Binay also
said that job quality is also important in the quest for inclusive growth.
“While we
wish to see more jobs generated, we cannot be content with just the quantity of
jobs. Quality of employment must carry equal weight,” the Vice President said
during the 34th National Conference of Employers.
Binay said
that for quality jobs to be created, clear policies must be set to allow industries
such as agriculture, mining and infrastructure to thrive.
He added that
adequate safeguards should also be in place to assure environmental security
and sustainability.
“Plans should
include milestones and measures to attract investments in manufacturing that
shall build on the dividends earned in the primary sectors. This shall increase
the demand for a wide and evolving selection of services, which shall create
even more employment opportunities for a wider segment of our population,”
Binay added.
He said that
while creation of an investment-attractive environment falls on the shoulders
of government, the private sector also plays a key role in job creation.
The Vice
President urged the Employers Confederation of the Philippines to help the
government formulate rules and regulations to spur competitiveness in the
global marketplace given the Philippines’ strengths and limits.
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