The Makati City government passed the Japan-ODA Incentive Ordinance which gives a tax relief to Japan-Official Development Assistance (Japan-ODA) projects. Under the ordinance, Japan-ODA projects will have a zero percent tax rate. In order to qualify, the projects have to be certified by the Japanese Embassy as being funded by the Japan-ODA.
Additionally, the project should have no outstanding tax obligations prior to February 18, the implementation date of the ordinance. The ordinance is in line with the Department of Interior and Local Government (DILG) circular for local tax exemptions of Japan-ODA projects, Inquirer News reported.
