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HomeFreeports & EcozonesJohn Hay Special Economic Zone

John Hay Special Economic Zone


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In 1992, RA 7227 was enacted conveying stewardship of Camp John Hay to the BCDA to facilitate its conversion into the country’s premier eco-tourist destination.  Through Presidential Proclamation No. 420 in 1994, 301.86 hectares of the 695-hectare Camp was designated as the John Hay Special Economic Zone (JHSEZ).


Tourism

Today, the erstwhile military camp is a premiere eco-tourism haven with its panoramic vistas and crisp mountain air that show the classic charm of Baguio City. Among much loved places in the Camp are the world-class Manor Hotel, the Camp John Hay Historical Core, the Bell House Museum and Bell Amphitheater; and the Honeymoon Cottage.


Getting There

Nestled 5,000 feet above sea level in Northern Luzon, Camp John Hay is accessible from Manila via an hour -long airplane flight to the Loakan Airport or a four-hour drive via the NLEZ and SCTEX.   It is a gateway to the scenic beaches of La Union,  the historic landmarks of Ilocos Sur, among other popular tourist destinations.   


Investment Incentives

A milestone development in 2006 was the issuance of Proclamation No. 1191 which assigned the JHSEZ under the Philippine Economic Zone Authority (PEZA) as a Special Tourism Economic Zone.  On March 20, 2007, RA 9399 and RA 9400 were signed into law, according locators with tax amnesty and duty-free incentives.  New investors who wish to establish their businesses inside the zone can now enjoy the following benefits (under RA 7916—PEZA Law): a) exemption from taxes under the National Internal Revenue Code (NIRC); b) exemption from local taxes except real property taxes; c) zero-rated transactions; d) fiscal incentives provided under PD 66 and EO 226; and, e) 5 % preferential income tax treatment on gross income earned within the zone.

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