Philippines Services

In 1999 the Philippines Government enacted Republic Act No. 8756. This included tax incentive legislation designed to attract multinational and foreign business entities to utilize the Philippines as a tax efficient base in which to locate their offshore administration and back office activities. Two of the major initiatives were creation of the Regional Headquarters (“RHQ”) and Regional Operating Headquarters (“ROHQ”), which are special purpose international companies.

Regional Headquarters (RHQ)

Regional Headquarters (RHQ) is a company whose purpose is to act as an administrative branch of a multinational company engaged in international trade. The RHQ principally serves as supervision, communication, back office and coordination center for its subsidiaries, branches or affiliates in the Asia-Pacific Region and other foreign jurisdictions, which does not earn or derive income in the Philippines. In order to establish an RHQ, The Parent Organization must initially remit into the Philippines at least US$50,000.00 (or its equivalent) and US$50,000.00 annually in all subsequent years. These funds are for the operating expenses of the RHQ including, rent, salaries and general operating expenditure. They are fully expendable within the business, i.e. there is no bond or withholding.

Regional Operating Headquarters (ROHQ)

Regional Headquarters (RHQ) is a company whose purpose is to act as an administrative branch of a multinational company engaged in international trade. The RHQ principally serves as supervision, communication, back office and coordination center for its subsidiaries, branches or affiliates in the Asia-Pacific Region and other foreign jurisdictions. The RHQ may not earn or derive income in the Philippines. In order to establish an RHQ, The Parent Organization must initially remit into the Philippines at least US$50,000.00 (or its equivalent) and US$50,000.00 annually in all subsequent years. These funds are for the operating expenses of the RHQ including, rent, salaries and general operating expenditure. They are fully expendable within the business, i.e. there is no bond or withholding.

Philippine Domestic Companies

Philippine Domestic Companies – We are specialists in domestic company formations, including companies with foreign ownership participation. We can provide consultancy advice on the regulations for specific industries and can advise on the structure of the company and the issues surrounding the minority equity and voting rights mandated under Philippine Law.

BPO Facilitation

BPO Facilitation (Business Process Outsource) – Companies who wish to outsource part or all of their back office processing will have diverse and varying requirements. FIDCO can provide advisory services to initially assess the industry specific requirements, identify regulatory considerations and define the requirements and advice on salaries and recruitment, identify office premises and negotiate leases to order utility services, securing expatriate visas, providing payroll, accounting and other support services. As required we will also provide advice and potential solution options for Knowledge Process Outsource (KPO) processes such as IT support, payroll and other more complex services.

Philippine Visas

Right of abode in the Philippines, there are numerous options to consider. We will advise on what is the appropriate visa to apply for. Our specialists will prepare the necessary documents, present your application and obtain your required visa. We also provide a number of other related advisory and functional services, in response to questions such as: Can I purchase a property? Can I open a small business? How can I best manage my offshore assets? What about my foreign pension? What are my best banking options? We can help with all of these issues and in some cases provide and manage direct solutions. Companies establishing Regional Headquarters or Domestic Companies in the Philippines often need help in recruitment of local staff, as well as securing key expatriate resources which includes their dependant’s needs and other related HR requirements and regulations. FIDCO will ensure all these requirements are managed efficiently.

Post a Comment

Your email address will not be published. Required fields are marked *

*