FIRB approves tax incentives for shipping company Dennis Uy

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Cebu-based shipping company, Trans-Asia Shipping Lines Inc. (Tasli) has benefited from tax incentives for its passenger and cargo ro-ro (RoRo) operations on the Cebu-Cagayan de Oro route.

The Tax Incentives Review Board (FIRB) said tax incentives approved for the 1.5 billion peso vessel proposed by Tasli include four years of tax exemption, five years of enhanced deductions and 11 years of exemption. import duties.

Founded in March 1974, Tasli is run by Chelsea Logistics Corp., owned by Davao-based businessman Dennis Uy. Tasli’s ship will operate the Cebu-Cagayan de Oro route with reduced travel time and offer a comparable fare. It stands out in the market as a practical, economical and competitive inter-island ship in the country.

Dennis Uy FILE PHOTO

Finance Secretary and FIRB Chairman Carlos Dominguez 3rd said the tax incentive “aligns with the national government’s goal of modernizing transportation and increasing competition in the shipping industry.”

Ceferino Rodolfo, Undersecretary for Commerce and Managing Director of the Board of Investments (BOI), said the potential benefits of the project should outweigh the cost of the incentives, which are driven primarily by the additional revenue from the business and substantial domestic expenditure on direct materials.

“With increased access to maritime transport, the project is expected to stimulate a higher flow of goods and services between the cities of Cebu and Cagayan de Oro,” Rodolfo said.

Commerce Secretary and FIRB Co-Chair Ramon Lopez said the project “will continue to generate revenue for the government even after the incentive period, which constitutes a substantial economic benefit that the FIRB considers to grant applications for funding. ‘tax incentive’.

Lopez said limited shipping lines currently serve the Cebu-CDO-Cebu route, so the entry of a new player will help improve the region’s water transport competitiveness. Emphasis is placed on the safety, well-being and comfort of passengers.

The shipping line is committed to increasing the productivity and efficiency of transporting goods and services and seeks to boost industrial ties and agricultural trade between the Central Visayas and Northern Mindanao.

In 2021, the FIRB approved tax incentive applications for five major projects, involving manufacturing activities and the construction of mass housing units, with a combined investment capital of 119.5 billion pesos.


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