Tax relief to boost SEAG donations

The 23rd Southeast Asian Games is expected to finally achieve its budget of P1.1 billion following a presidential decree granting tax exemptions and allowable deductions in full on all donations and contributions to the Philippine Southeast Asian Games Committee (Philsoc).

Under Proclamation No. 872, issued June 30, President Arroyo directed that "all donations and contributions to Philsoc shall be exempt from income and gift." Additionally, the proclamation further allowed "Tax deductions in full from the income of the donors and contributors for income tax purposes."

"This is a big boost to our effort of attracting our corporate friends in being part of the SEA Games bandwagon," said Secretary Roberto Pagdanganan, Philsoc chair and CEO.

Pagdanganan said the tax perks are "a fitting response of the Arroyo administration to the patriotic cause that Philippine business is fostering in being an active partner in the national effort to stage a successful SEA Games."

Philsoc has projected an operating budget between P950 million and P1.1 billion. Thus far, about P750 million worth of sponsorship has been sewed up, two-thirds of it coming from leading businesses like Globe, PLDT Mabuhay, and the LT Group of Companies.

Other sponsors signed up by Philsoc are Nestle-Milo, Thunder Philippines, Unilab whose cash and product contributions have beefed up the financial needs of running the Games.

Due for signing up within the month are Yonex, Air 21, SMC, Global International, Philips, Canon, Toyota, Petronas, Rolex, Mikasa, and Molten.