Perceived Impact of Corporate Recovery and Tax Incentives for Enterprises Act (Create Law) on Microenterprise Pharmacies in Nueva Vizcaya

Abstract

When the pandemic struck the country, a new tax law called the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act was introduced. This study aimed to determine the perceived impact of the CREATE Law on microenterprise pharmacies in Nueva Vizcaya in the first semester of AY 2023-2024. Specifically, this research sought to determine the profile of the respondents; the perceived impact of the CREATE Law on microenterprise pharmacies in terms of business growth, factors affecting their operation, and taxes that most affected them; if there was a significant difference between the perceived impact on the pharmacies when grouped according to their profile; and the challenges the pharmacies experienced during the pandemic wherein the CREATE Law was able to help them resolve those problems and how. This study used the quantitative-qualitative method and data was gathered through survey questionnaires. The results showed that the majority of the respondents have not completed a business-related course while most of them have been operating for at least 10 years. The researchers also found out that the CREATE Law had a positive impact on business growth and factors affecting their operation but not taxes that most affected the pharmacies. Additionally, there was no significant difference in the perceived impact of the CREATE Law on the pharmacies when grouped according to their profile. Lastly, the challenges the pharmacies experienced during the pandemic were operational restrictions, market access, supply chain disruptions, and increased expenses. The pharmacies adhered to pandemic measures for business continuity and also experienced financial stability amidst market shifts. However, there was only a limited impact of tax exemptions. Overall, the CREATE Law had a limited impact on the pharmacies.