Mar 122017
For many years now, the Government of Japan has been one of the largest providers of bilateral assistance to the Philippines. The Philippines undertakes several projects funded by Official Development Assistance (ODA) loans or grant aid from the Japan International Cooperation Agency (JICA).
To preserve the JICA fund strictly for the execution of appropriate projects, the Governments of Japan and the Philippines have agreed, under an Exchange of Notes, on a tax assumption scheme, whereby the Philippine Government will assume all fiscal levies and taxes due from Japanese companies operating as suppliers, contractors and/or consultants, and from Japanese employees in the Philippines, in relation to the implementation of such projects.