HOUSE OF REPRESENTATIVES
Z RECEIVED
Republic of the Philippines 3.0 JUN 2
HOUSE OF REPRESENTATIVES DATE: 016

Quezon City TIME: A)
SEVENTEENTH CONGRESS Bis

First Regular Session
RICISTRATION UNIT
BILLS AND INDEX SERVICE
784

HOUSE BILL NO.

Introduced by Honorable GERALD ANTHONY V. GULLAS, JR.

EXPLANATORY NOTE

The measure seeks to give additional incentives to Barangay Captains,
Councilors, Secretary, Treasurers, including Tanods, Members of -the Lupong
‘Tagapamayapa and ali Barangay employees. -

Our Barangay Officials are the frontliners. They make democracy at the
grassroots level,

Most important of the benefits given the Barangay officials and Barangay
employees is the exemption from income tax of their salaries wages and other
emoluments, such as honoraria and allowances, including any benefits that they may
receive from government on account of their work or employment. Added to this are
some equally important benefits; (a) benefit under the GSIS; (b) coverage under existing
medical health service programs of government under existing laws, and © free legal
representation.

This measure therefor seeks to give due recognition to the important job being
performed by these grassroots workers as well as to acknowledge the vital role being
played by the smallest government unit and political subdivision called the Barangay.

In view of the foregoing, approval of the measure is urgently requested.

2

GERALD AN’ V. GULLAS, JR.


Republic of the Philippines “
HOUSE OF REPRESENTATIVES -
Quezon City :

SEVENTEENTH CONGRESS
First Regular Session

784

HOUSE BILL NO.

Introduced by Honorable GERALD ANTHONY V. GULLAS, JR.

AN ACT
PROVIDING INCENTIVES TO ALL BARANGAY OFFICIALS, INCLUDING
BARANGAY TANODS AND MEMBERS OF THE LUPONG TAGAPAMAYAPA,
AND BARANGAY EMPLOYEES AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SECTION 1. Title. - This Act shall be known as the “Barangay Incentives Act of
2016”

SEC. 2. Declaration of Policy. - It is the declared policy of the State to promote
and enhance the efficiency and responsiveness of barangay officials and employees, the
government workers who make democracy work at the grassroots levels in the smallest
territorial and political subdivision of the government which is the barangay. To achieve
this objective, the State shall adopt measures and provide such incentives not only to help
ensure the faithful performance of the duties and functions of barangay officials and
employees but also to raise their quality of life.

SEC. 3. Tax Exemption. - All amounts received by barangay officials, including
Barangay Tanods and members of the Lupong Tagapamayapa, hereinafter particularly
referred to as “barangay officials and barangay employees”, as salaries, wages,
compensation, remuneration and other emoluments, such as honoraria andallowances ,
shall be exempt from income taxation, Gross benefits received by such officials and
employees, of whatever kind of character, shall likewise be exempt from taxation.

SEC, 4, Exemption from Capital Gains and Transfer Taxes. - The sale, exchange
or disposition of real property by barangay officials and barangay employees shall be
exempt from capital gains and other national taxes as long as the proceeds of such sale,
exchange or disposition shall be directly and exclusively used by such officials and
employees to acquire a house and lot, not exceeding 500 square meters, for family
dwelling. The acquisition of such house and lot for family dwelling purposes shail
likewise be exempt from any national or local taxes and fees in connection with the
transfer and registration of such property in the name of the barangay official or barangay
employee concerned.

SEC. 5. GSIS Benefits Coverage. - All barangay officials and employees shall be
considered members of the Government Service Insurance System (GSIS) and shall be
covered with life insurance and social security protection, including retirement, disability,
separation and unemployment benefits and such other benefits as may extend by the
GSIS, subject to limitations provided by law.

The GSIS shall make special provisions in order to facilitate the inclusion of
barangay officials and barangay employees, in the benefit coverage of GSIS.


« OB «

SEC. 6, Health Benefits. - Government medical and health insurance programs
under existing laws shall include in their coverage free basic health services and medicine
to barangay officials and barangay employees

SEC. 7. Legal Representation. - Barangay officials and barangay employees who
maybe be involved as party litigants in administrative or criminal cases filed in
connection with the performance of their official duties shall, as a member of right, be
entitled to the free legal services of the Public Attorney's Office (PAO) who shall
facilitate the legal representation of the such officials and employees by a counsel

Such benefit of legal representation shall include an exemption from payment of
docket and other lawful fees, and of transcripts of stenographic notes which the court
may order to be furnished the barangay officials and employees.

SEC. 8. Implementing Rules and Regulations. Within six (6) months from the
effectivity of this Act, the Department of Interior and Local Government, in coordination
and consultation with the Department of Justice, the Department of” Health, the
Government Service Insurance System and other agencies concerned, shall promulgate
such rules or guidelines as maybe necessary for the proper implementation of this Act

SEC. 9. Separability Clause. - If any provision of this Act or the application of
such provision to any person or circumstances is declared unconstitutional, the remainder
of this Act or the application of such provision to other persons or circumstances shall not
be affected by such declaration.

SEC. 10. Repealing Clause. - All laws, decrees, orders, rules and regulations or
parts thereof which are inconsistent with or contrary to the provision of this Act are
hereby amended, modified or repealed accordingly.

SEC. 11. Effectivity Clause. - This Act shall take effect fifteen (15) days after its
publication in at least two (2) newspapers of general circulation.

Approved,