Section 3December 14, 1989, Sec./Art. 3

Countryside business entities shall, upon registration, pay Two hundred and fifty pesos (P250.00) to the municipality or city where its principal place of office and business operations are located to cover the cost of the issuance of the license to operate, known as the CBBE authority.

All CBBEs shall be exempted from all taxes, national or local, license and building permit fees and other business taxes, except real property and capital gains taxes, import duties and other taxes on imported articles. In addition, any and all income, receipts and proceeds derived from the business operations of the CBBE shall be excluded from the computation of gross income for purposes of computing the individual income tax of the owners/members thereof.

It shall be exempted from any and all government rules and regulations in respect of assets, income, and other activities indispensably and directly utilized in, proceeding from or connected with the business of the enterprise.

CBBEs, however, shall pay the CBBE fee to the municipal or city treasurer where they are registered, starting on their second year of operations, based on the following schedule:

(a) Those with net assets before financing amounting to not more than

P100,000.00

P1,000.00 per annum;

(b) Those with net assets before financing of more than P100,000.00 to

P250,000.00

P2,500.00 per annum;

(c) Those with net assets before financing of more than P250,000.00 to

P400,000.00

P4,000.00 per annum; and

(d) Those with net assets before financing of more than P400,000.00 to

P500,000.00

P5,000.00 per annum.

In the event the CBBE uses a brand name on its products, such brand name shall first be registered with the Bureau of Domestic Trade, through the Department of Trade and Industry (DTI) provincial office.