List of Papers for this Meeting
44th Annual Meeting
Bangko Sentral ng Pilipinas Assembly Hall
November 21 - 22 2006
Theme: Growth, Development, and Institutions
Paper Details
| Panel: |
Session 3: Investments |
| Title: |
Paper 1: Fiscal Incentives Revisited |
| JEL Code(s): |
M2 |
| Abstract: |
In recent years, conflicting objectives have become more pronounced in fiscal incentives. There is a critical need for more revenues and thus a call to limit fiscal incentives, on the one hand, and the need for more generous incentives to compete for foreign direct investments, on the other. The Department of Finance (DOF) is worried about the proliferation of different fiscal incentives and large foregone revenues; the Department of Trade and Industry and the Board of Investments (DTI-BOI) claims high returns (four times) for every peso spent on fiscal incentives and low cost (P0.0114) for every peso of investment. In the ensuing debate, what has become clear is the need to review the investment incentive system. This short paper is an attempt to clarify some of the issues and provide some useful suggestions for reforms towards rationalizing the fiscal incentive system.
|
| Discussants: |
|
<< Back To List