Regulatory Alerts2025-12-19 | EPD Circular Letter No. 12Revision in Instructions for Remittance of Royalty, Franchise and Technical Service Fees for Agriculture, Social, Infrastructure and Service Sector Projects
Authorized Dealers are permitted to allow recurring royalty, franchise, and technical service remittances up to 8 percent of net local sales for specified sectors excluding the financial industry. New operations may receive an initial upfront payment of up to USD 250,000, which must be amortized against the 8 percent recurring fee limit over the agreement duration. Requests exceeding the USD 250,000 upfront threshold require mandatory approval from the Board of Investment.
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