Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No. ___ 
Introduced by CIBAC Party-List Representative 
HON. EDUARDO “BRO. EDDIE” C. VILLANUEVA 
AN ACT 
IMPOSING EXCISE TAX ON PLASTIC BAGS, AMENDING FOR THE 
PURPOSE SECTION 288 AND ADDING A NEW SECTION 150-C IN THE 
NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED 
EXPLANATORY NOTE 
Plastics can easily end up in landfills, dumpsites, or oceans and other bodies of 
water if its use continue to be largely unregulated and no proper incentive system for the 
use of alternative products are put in place. This poses not only ecological hazard to 
wildlife, but also public health risks.   
In 2016, a body of a rare fish called coelacanth washed up in Indonesia with food 
wrappers around its intestines,1 while a body of a pregnant whale shark was found with 
50 pounds of plastic in her stomach.2 One study estimates that around 100 million marine 
animals die each year because of plastic waste.3  
Meanwhile, in 2017, a team of scientists discovered a total of 36 tiny pieces of 
plastic in the bodies of 120 mackerel, anchovies, mullets and croakers, fishes which are 
eaten by humans.4 Another study recently published in May 2022 found microplastics in 
1 August 12, 2018. Death by plastic waste. Retrieved from https://theaseanpost.com/article/death-plastic-waste (date last accessed: 
October 19, 2022). 
2
April 
3, 
2019. 
This 
pregnant 
whale 
died 
with 
50 
pounds 
of 
plastic 
in 
her 
stomach. 
Retrieved 
from 
https://www.nationalgeographic.com/environment/2019/04/dead-pregnant-whale-plastic-italy/ (date last accessed: October 19, 2022). 
3 Supra note 1. 
4
July 
26, 
2017. 
Plastic 
microparticles 
found 
in 
flesh 
of 
fish 
eaten 
by 
humans. 
Retrieved 
from 
https://www.independent.co.uk/environment/plastic-microparticles-fish-flesh-eaten-humans-food-chain-mackerel-anchovy-mullet-
a7860726.html (date last accessed: October 19, 2022). 
March 29, 2023
11:03 am
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human blood.5 While research is ongoing on the real effects of microplastics in the human 
body, initial research suggests that plastics (and its components): (i) disrupt hormones, 
(ii) increase  risk of chronic disease, and (iii) impair immune health.6
Given the ecological and health hazards brought about by the rampant use of 
plastics, the government needs to strengthen existing mechanisms to disincentivize the 
use of plastics through taxation. According to one study, a tax on plastics can lead to the 
reduction of the production and consumption of plastic products. The same study found 
that environmental taxation is a key ingredient to catalyze the transition to a circular 
economy.7  
This bill seeks to move towards this direction by imposing a P100 excise tax for 
every kilogram of plastic bag removed from the place of production or released from the 
custody of the Bureau of Customs, subject to periodic increase every four years effective 
on January 1, 2026.   
As one of the flagship measures of the Marcos Administration not only as a 
revenue-generation measure, but also as a mechanism to combat pollution, the 
immediate passage of this bill is earnestly sought.  
HON. EDUARDO “BRO. EDDIE” C. VILLANUEVA 
5
June 
29, 
2022. 
Microplastics 
in 
the 
food 
chain: 
How 
harmful 
are 
they? 
Retrieved 
from 
https://www.weforum.org/agenda/2022/06/how-microplastics-get-into-the-food-chain/ (date last accessed: October 19, 2022). 
6 February 18, 2022. What do we know about microplastics in food? Retrieved from https://www.medicalnewstoday.com/articles/what-
do-we-know-about-microplastics-in-food#The-dangers-of-microplastics (date last accessed: October 19, 2022). 
7 September 10, 2018. Plastic taxes vital to cut pollution, new study finds. Retrieved from https://www.clientearth.org/latest/latest-
updates/news/plastic-taxes-vital-to-cut-pollution-new-study-finds/ (date last accessed: October 19, 2022). 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No. ___ 
Introduced by CIBAC Party-List Representative 
HON. EDUARDO “BRO. EDDIE” C. VILLANUEVA 
AN ACT 
IMPOSING EXCISE TAX ON PLASTIC BAGS, AMENDING FOR THE 
PURPOSE SECTION 288 AND ADDING A NEW SECTION 150-C IN THE 
NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Short Title. – This Act shall be known as the “Plastic Bags Tax Act.” 
1 
2 
SEC. 2. Declaration of Policy. – It is hereby declared the policy of the State to 
3 
protect and advance the right of the people to a balanced and healthful ecology in accord 
4 
with the rhythm and harmony of nature through the proper exercise of its power of 
5 
taxation. 
6 
7 
SEC. 3. A new section designated as Section 150-C of the National Internal 
8 
Revenue Code of 1997, as amended, is hereby added to read as follows: 
9 
10 
“SEC. 150-C. PLASTIC BAGS. – 
11 
12 
(A) RATE AND BASE OF TAX. – THERE SHALL BE LEVIED,
13 
ASSESSED, AND COLLECTED AN EXCISE TAX IN THE AMOUNT
14 
OF ONE HUNDRED PESOS (PHP100.00) FOR EVERY KILOGRAM
15 
OF PLASTIC BAG REMOVED FROM THE PLACE OF PRODUCTION
16 
OR RELEASED FROM THE CUSTODY OF THE BUREAU OF
17 
CUSTOMS (BOC).
18 
19 
THE RATE OF TAX IMPOSED UNDER THIS SUBSECTION SHALL 
20 
BE INCREASED BY FOUR PERCENT (4%) EVERY YEAR, 
21 
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EFFECTIVE ON JANUARY 1, 2026, THROUGH REVENUE 
1 
REGULATIONS ISSUED BY THE SECRETARY OF FINANCE. 
2 
 
3 
“PLASTIC BAGS” SHALL REFER TO SECONDARY LEVEL 
4 
PLASTICS MADE OF SYNTHETIC OR SEMISYNTHETIC ORGANIC 
5 
POLYMER, SUCH AS “ICE”, “LABO”, OR “SANDO” BAGS, WITH OR 
6 
WITHOUT HANDLE, USED AS PACKAGING FOR GOODS OR 
7 
PRODUCTS. 
8 
 
9 
(B) FILING OF RETURN AND PAYMENT OF EXCISE TAX ON PLASTIC 
10 
BAGS. – THE PROVISIONS OF SECTIONS 130 AND 131 OF THE 
11 
NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, 
12 
ON THE FILING OF RETURN AND PAYMENT OF EXCISE TAX 
13 
SHALL APPLY. 
14 
 
15 
(C) NON-PAYMENT OF EXCISE TAX – NON-PAYMENT OF THE 
16 
EXCISE TAX IMPOSED UNDER THIS ACT SHALL BE SUBJECT TO 
17 
THE PERTINENT PROVISIONS UNDER TITLES VIII AND X OF THE 
18 
NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, 
19 
REGARDING COLLECTION OF UNPAID TAXES AND IMPOSITION 
20 
OF CORRESPONDING FINES, SURCHARGES, PENALTIES, AND 
21 
IMPRISONMENT OR CLOSURE OF BUSINESS.” 
22 
 
23 
SEC. 4. Section 288 of the National Internal Revenue Code of 1997, as amended, 
24 
is hereby further amended to read as follows: 
25 
 
26 
“SEC. 288. Disposition of Incremental AND OTHER Revenues. –  
27 
 
28 
(A)  
xxx 
29 
(B) 
xxx 
30 
(C) 
xxx 
31 
(D) 
xxx 
32 
(E) 
xxx 
33 
(F) 
xxx 
34 
(G) 
xxx 
35 
 
36 
(H) 
REVENUES FROM THE EXCISE TAX ON PLASTIC BAGS – THE 
37 
INCREMENTAL REVENUES FROM THE IMPOSITION OF THE EXCISE TAX ON 
38 
PLASTIC 
BAGS 
SHALL 
BE 
ALLOCATED TO 
PROGRAMS 
OF 
THE 
39 
DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES (DENR) FOR 
40 
THE IMPLEMENTATION OF REPUBLIC ACT NO. 9003, OTHERWISE KNOWN 
41 
AS THE ‘ECOLOGICAL SOLID WASTE MANAGEMENT ACT OF 2000’ IN 
42 
MUNICIPALITIES. 
43 
 
44 


THE GUIDELINES FOR THE AVAILMENT OF FUNDS BY MUNICIPALITIES 
1 
SHALL BE PREPARED BY THE DEPARTMENT OF ENVIRONMENT AND 
2 
NATURAL RESOURCES. 
3 
 
4 
SEC. 5. Implementing Rules and Regulations. – Within sixty (60) days from the 
5 
effectivity of this Act, the Secretary of Finance shall, upon the recommendation of the 
6 
Commissioners of the Bureau of Internal Revenue and the Bureau of Customs and, in 
7 
consultation with the Department of Environment and Natural Resources, issue and 
8 
promulgate rules and regulations for the effective implementation of this Act. 
9 
 
10 
SEC. 6. Separability Clause. – If any provision of this Act shall be held 
11 
unconstitutional or invalid, the other provisions not otherwise affected shall remain in full 
12 
force and effect. 
13 
 
14 
SEC. 7. Repealing Clause. – All laws, decrees, executive orders, rules, and 
15 
regulations or parts hereof which are contrary to or inconsistent with any provision of this 
16 
Act are hereby repealed, modified, or amended accordingly. 
17 
 
18 
SEC. 8. Effectivity. – This Act shall take effect fifteen (15) days after its publication 
19 
either in the Official Gazette or in at least one (1) newspaper of general circulation. 
20 
 
21 
Approved, 
22 
 
 
23