RECEIVED

EIGHTEENTH CONGRESS ) CATE: JAN 05 202
REPUBLIC OF THE PHILIPPINES ) fimes_[atpm |,
Second Regular Session ,

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HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez
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House Bill No.
EXPLANATORY NOTE

Section 4(0) of Republic Act No. 11469 or the “Bayanihan to Heal As One Act” provided
for the exemption from import duties, taxes, and other fees of all importation of critical or
needed medical equipment or supplies to combat the COVID-19 pandemic.

Under Section 4(cc) of Republic Act No. 11491, known as “Bayanihan 2”, the
exemption from import duties, taxes, and other fees of critical or needed medical equipment
or supplies to combat the COVID-19 pandemic shall be determined by the Bureau of Internal
Revenue (BIR) and the Bureau of Customs (BOC). However, the implementing rules and
regulations released by the BIR and the BOC have yet to include a clear exemption on the
acquisition and purchase of the COVID-19 vaccines.

Clearly, a crucial part of the fight against the COVID-19 pandemic is the vaccination
process of a significant part of the population to attain herd immunity. While the Philippine
government, through the House of Representatives and the Senate, has passed a budget of
Php72.5 billion for COVID-19 vaccines to cover 30%-50% of the Philippine population for
2021; itis still not enough to attain herd immunity (above 50% of the population),

From the onset of the pandemic, the private sector has played a key role alongside the
Philippine government in addressing the social and economic fallout of the COVID-19
pandemic, The private sector has helped acquire protective gear for front liners, medical
supplies, and other necessities needed our fellow Filipinos to combat the pandemic. And we
are confident the private sector will continue to work alongside the government as we enter
the vaccination process to complete our defense against the COVID-19 pandemic. Many
companies from the private sector have expressed interest in acquiring and purchasing
vaccines for their employees and their dependents to move towards higher productivity,
employment and income for employees. A tax exemption on the acquisition and purchase of
the vaccines shall provide for ease and affordability in its procurement; resulting to more
Filipinos protected against the virus.

While it is vital that the private sector be allowed to purchase vaccines for their
employees resulting to a boost in employment and the economy; it is equally as important to
exempt the acquisition and purchase of these vaccines from taxes as this is an urgent national
matter of public health, employment, and economic recovery. We cannot stress enough how
every doze of vaccine is significant for every single Filipino who has faced grave challenges
during the pandemic. As public servants, it is our basic duty and is of highest urgency to
prioritize the speedy procurement and administration of the vaccines to all Filipinos.

In view of the foregoing, immediate approval of this measure is eamestly requested

RUFDS B, RODRIGUEZ


EIGHTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVES.

Introduced by Representative Rufus B. Rodriguez

House Bill No, 8301

AN ACT
EXEMPTING THE COVID-19 VACCINE FROM IMPORT DUTIES, TAXES, AND OTHER
FEES FOR PRIVATE SECTOR EMPLOYEES AND DEPENDENTS.

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

SECTION 1. COVID-19 Vaccine Exemption from Import Duties, Taxes, and Other Fees
for the Private Sector for their Employees. The importation of COVID-19 vaccines by the
private sector shall be exempt from customs duties, value-added tax, excise tax and other
fees; provided, that the vaccines acquired shalll be for use of their employees and dependents
only and not for commercial distribution.

SEC 2. Implementing Rules and Regulations. The Department of Finance, Bureau of
Internal Revenue, and Bureau of Customs shall promulgate the rules and regulations
necessary for the Implementation of this Act within a periad of fifteen (15) days after its
effectivity,

SEC 3. Repealing Clause. All jaws, decrees, rules and regulations, and other issuances
inconsistent with this Act are hereby repealed or modifying accordingly.

SEC 4, Effectivity. This Act shall take effect immediately upon its approval

Approved,