The Philippine government continues to reshape its economic landscape with the rollout of the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigoration of the Economy (CREATE MORE) Act in 2025. Building on the foundations of the original CREATE Act, this updated legislation introduces expanded corporate incentives designed to attract more investments, foster innovation, and accelerate national recovery.
What is the CREATE MORE Act?
The CREATE MORE Act refines and strengthens the incentives system to make the Philippines a more competitive investment destination. It enhances the flexibility of available tax incentives, allowing businesses across various sectors—particularly those in priority industries such as technology, manufacturing, healthcare, and renewable energy—to access more generous and tailored support.
Key Features of the Expanded Incentives
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Longer Income Tax Holidays: Qualified enterprises can now enjoy extended periods of income tax holidays, with options of up to 10 years depending on the project's scale, innovation level, and contribution to national development goals.
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Enhanced Deductions: Companies may avail themselves of additional deductions for research and development (R&D) expenses, training, infrastructure investments, and sustainability initiatives, encouraging businesses to upskill their workforce and green their operations.
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Eased Qualification Processes: To encourage broader participation, the CREATE MORE Act simplifies the application and approval processes for tax incentives. This change benefits MSMEs and startups, providing them with faster access to fiscal support without excessive administrative burdens.
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Support for Digital Transformation: Recognizing the central role of technology, businesses investing in digital infrastructure, cybersecurity, and innovation hubs can qualify for targeted incentives under the Act.
Why the CREATE MORE Act Matters
The expanded incentives under CREATE MORE aim to stimulate investment-led growth by rewarding companies that contribute to long-term economic transformation. By promoting activities that enhance competitiveness, sustainability, and inclusive development, the Act supports the Philippines’ vision of becoming a regional hub for innovation and high-value industries.
For businesses, the message is clear: 2025 presents unprecedented opportunities to leverage government support. Companies are encouraged to review the new guidelines carefully and work closely with investment promotion agencies to maximize the benefits available under the CREATE MORE framework.
Staying informed and proactive will be key for businesses seeking to thrive in the next chapter of the Philippine economy.
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