Qualifications for Availment of Fiscal Incentives.
Section 20
SEC. 20. Qualifications for Availment of Fiscal Incentives.—To qualify for registration as an agricultural producer and/or enterprise entitled to avail of fiscal incentives, the applicant must (a) be engaged or proposes to engage in agricultural production, processing and marketing if substantially integrated with agricultural production, and/or other related services or facilities necessary to support agricultural production including transport, handling and storage of products and by-products arising out of such production, declared specifically as a preferred area of investment; and (b) be a citizen of the Philippines, in case the applicant is a natural person or in case of a partnership, corporation or any association, it is organized under Philippine laws and that at least sixty percent (60%) of its capital is owned and controlled by citizens of the Philippines, and that at least sixty percent (60%) of the members of the Board of Directors are citizens of the Philip pines; Provided, That subject to the provisions of the Constitution on the nationality requirement where exploitation of natural resources is involved, and other applicable nationalization laws, the above nationality requirement shall not apply to agricultural ventures classified as First and Second Priority in the plan. Agricultural producers who engage in intermediate and final processing of agricultural products not otherwise covered by the Investment Priorities Plan of the Board under existing laws may register such manufacturing activities under this Decree if such activities are likewise covered by the Agricultural Investment Priorities Plan. Small scale farmers engaged in contract growing of agricultural products used as inputs for registered activities may register as agricultural producers n such commodity is listed in the Plan, subject to the guidelines that will be promulgated by the Board in consultation with the Bureau of Internal Revenue, Provided, That is no double availment (f comparable incentives for the same product. Filipino citizens and corporations or associations may enter into service contract for financial, technical, management or other forms of assistance with any foreign person or entity for the development of Philippine agriculture, agricultural resources and food production. Sub-Chapter B.—FISCAL INCENTIVES TO INVESTORS