Section 11Sec./Art. 11

Fiscal Incentives. - All provisions of law to the contrary notwithstanding, the GSP shall be entitled to the following tax and duty incentives and privileges:

(a)Exemption from all direct and indirect taxes, including value-added tax (VAT) fees and other charges of all kinds on all income derived from its operations, including the use, lease or sale of its real properties and the provision of services;

(b)Exemption from direct and indirect taxes, including VAT, duties, fees and other charges on importations and purchases for its exclusive use;

(c)Tax and/or duty exemption of donations from foreign countries as provided under relevant laws such as, but not limited to, Section 105 of the Tariff and Customs Code of the Philippines, as amended, and Section 109(K) of the National Internal Revenue Code of 1997, as amended.

Likewise, all donations, legacies and gifts to the GSP to support its purposes and objectives as embodied in this Act shall, under Section 101(A)(3) of the National Internal Revenue Code of 1997, as amended, be exempt from donor's tax and shall be deductible from the gross income of the donor for income tax purposes, and such donations, legacies and gifts shall be expended by the Central Board in pursuance of this Act.

The GSP shall likewise be exempt from payment of all other taxes, duties, imposts and charges; and

(d)Exemption from payment of real property taxes on all real properties owned by it.