Question & AnswerQ&A (ZCSEZA)
They are referred to as the "Rules and Regulations Implementing Republic Act No. 7903."
The Zamboanga City Special Economic Zone Authority (AUTHORITY) is responsible for managing and operating the ZAMBOECOZONE.
They implement the provisions governing the Zamboanga City Special Economic Zone and Freeport (ZAMBOECOZONE) and the Zamboanga City Special Economic Zone Authority under Republic Act No. 7903.
A ZAMBOECOZONE Enterprise means any business entity within the ZAMBOECOZONE, duly registered with and/or licensed by the AUTHORITY to operate any lawful economic activity within the ZAMBOECOZONE.
The Board is composed of eight members: a Chairman (who is also the Administrator), a Vice Chairman from the national agency, the city’s congressional representative, the mayor of Zamboanga City, a representative of the city council, representatives of domestic investors, foreign investors, and the labor sector in the ZAMBOECOZONE.
The AUTHORITY has the powers to operate and manage the ZAMBOECOZONE, recommend proclamations defining its boundaries, regulate enterprises, manage utilities and infrastructure, raise or borrow funds, provide security, protect natural resources, make contracts, issue rules and regulations, and exercise necessary administrative powers.
They are exempt from all national and local taxes including customs and import duties, internal revenue taxes, income tax on incomes from the ZAMBOECOZONE and certain other areas, franchise and percentage taxes, documentary stamp tax, and local government taxes. Instead, they pay a final tax of five percent (5%) on gross income earned.
Foreign nationals must have work visas issued by the AUTHORITY valid for up to five years, renewable annually. Employment is subject to conditions including training Filipino understudies, compliance with Philippine laws, and AUTHORITY approval. Work visas can be revoked for violations or other reasons.
The AUTHORITY enforces environmental quality and pollution control standards congruent with national laws, issues Environmental Compliance Certificates, requires permits for construction and operation, oversees waste management, water and air quality standards, conserves natural resource areas, and requires emergency and contingency planning for pollution risks.