[ESTABLISHING A BUSINESS ENTITY IN THE PHILIPPINES]
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In addition, within six (6) months after the fiscal year of a licensed branch office of a foreign corporation, the Securities and Exchange Commission may require the said branch office to deposit additional securities or financial instruments equivalent in market value to 2% of the amount by which the licensee’s gross income exceeds P10,000,000.00. 3. Representative Office A representative office must be funded, through an initial inward remittance, with at least US $ 30,000.00 to cover its operating expenses. 4. Regional Operating Headquarters A regional operating headquarters in the Philippines must be capitalized by no less than US $ 200,000.00. 5. Regional Area Headquarters Establishing a Regional Area Headquarters in the Philippines requires a capital
expenditure of at least US $ 50,000.00 annually to cover operating expenses. Qualified foreign investors are issued by the Bureau of Immigration, through the Board of Investments, a Special Investor’s Resident Visa pursuant to the provisions of the Omnibus Investments Code of 1987. The Special Investor’s Resident Visa is a special non-immigrant visa which allows the Visa holder to reside in the Philippines for an indefinite period if the required qualifications and investment amounts are maintained. There are generally no restrictions for remitting funds out of the Philippines, if the remittance complies with Philippine banking, finance, and anti-money- laundering laws. However, depending on the vehicle chosen, there will be tax liabilities for the remittances from the Philippines to foreign jurisdictions.
ILN Corporate Group – Establishing a Business Entity Series
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