The study assesses the effectiveness of the tax and duty privileges granted to specific economic zones (ECOZONES) in the country. It consists of the following: (a) examination of the effectiveness of the tax and duty privileges granted to ECOZONE enterprises in encouraging investments and other benefits emanating from their operations; (b) examination of the systems and procedures in the implementation/administration of the tax and duty privileges and monitoring by the regulating agencies; (c) review and comparison of existing provisions of fiscal incentives for ECOZONES on surrounding communities in terms of employment, income generation, investment and revenues to local governments concerned; and (e) determination of the cost to government in terms of forgone revenues. It recommends, among others, reviewing the performance of existing ECOZONES and the problems encountered by them; deferring the imposition of additional or new ECOZONES until the requisites to make them more attractive to investments are in place; and reviewing the prevailing tax regime in all ECOZONES.
