:;f:r;.uiE 
FOURTEENTH CONGRESS OF THE REPUBLIC) 
: , ~ .  
OF THE PHILIPPINES 
1 
. 
’) 
PICE OF Yrri SECRETMY 
2”d Regular Session 
) 
, . ‘ *  
SENATE 
9 M Y  -5 P I  32 
I 
Introduced by Senator Panfilo M. Lacson 
EXPLANATORY NOTE 
It is the policy of the State to develop and enhance our human resources. In 
particular, in this era of globalization, it is of utmost importance for the country to 
educate, train, mold, and develop our tax collectors and administrators to become 
effective and efficient public servants and bread winners of the country. 
Taxes are the lifeblood of the government. The increasing needs of a growing 
population for basic services and the pursuit of socio-economic development necessitate 
a substantial rise in tax collection. Unfortunately, our tax effort in relation to Gross 
Domestic Product (GDP) has been declining, is., from 16.3% in 1995, 16.9% in 1996, 
down to only 12.4% in 2004, 13% in 2005, 14.3% in 2006, 14.0% in 2007, and 15.1% 
in 2008 . 
It has also been noted that our tax collectors, being bread winners for the country, 
should be given due importance, particularly in this era of rapid transformation and 
technological change. They should be equipped with the requisite knowledge, training, 
skills, and expertise in tax collection, including moral fitness and work ethics. 
It is ironic that we have many institutes or academies that provide specialized 
training in the various aspects of public service, such as: Local Executive Academy, 
Judicial Academy, Tourism Academy, Philippine Military Academy, Philippine National 
Police Academy, etc., but we do not have a Tax Institute or Tax Academy to train and 
develop our tax collectors and administrators. 
It is therefore urgent that we create a Philippine Tax Academy that will be staffed 
by a corps of professional lecturers in the fields of taxation, finance, and revenue 
administration, among others, to provide the basic theoretical construct and experiential 
knowledge to prospective and incumbent revenue collectors and administrators. 
It is envisioned that in the long run, this will contribute to enhance tax collection 
efficiency and tax administration in general, thus, raise our tax effort and help arrest our 
budget deficit. Thus, this bill seeks to create a Philippine Tax Academy, install its 
stmctures and functions. 
In view of the foregoing, passage of this bill which is a counterpart measure of 
House No. 6240 is therefore earnestly requested. 
P 
CSON 


FOURTEENTH CONGRESS OF THE REPUBLIC ) 
;E >- d r  t 
OF THE PHILIPPINES 
~~~1~~ OF PI.“F: SECRETAW 
2’ld Regular Session 
1 
SENATE 
9 nay -5 PI :I2 
Introduced by Senator Panfilo M. Lacson 
AN ACT 
CREATING THE PHILIPPINE TAX ACADEMY, DEFINING ITS 
POWERS AND FUNCTIONS, APPROPRIATING FUNDS THEREFOR 
AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the 
Philippines in Congress assembled: 
ARTICLE I 
TITLE, DECLARATION OF POLICY AND OBJECTIVES 
Section 1. Short Title. - This Act shall be known as the “Philippine Tax 
Academy”. 
Section 2. Declaration of Policy. - The State recognizes the vital and 
critical role of tax collectors and administrators in generating the needed 
government revenues for the country’s total development and progress. It is 
hereby declared to be the policy of the State to enhance and develop our human 
resources, particularly in the field of tax collection administration. Hence, creation 
of a specialized institution that will provide the appropriate education, training 
skills, and values to tax collectors and administrators. 
It is likewise the policy of the State to encourage, train, mold, develop, and 
professionalize OUT tax collectors and administrators to become competent, 
effective, efficient public servants for national interest. 
ARTICLE I1 
ESTABLISHING A PHILIPPINE TAX ACADEMY 
Section 3. The Philippine Tax Academy. -To achieve the policy and 
objectives declared in this Act, there shall be established a Philippine Tax 
Academy, hereinafter referred to as the Academy, which shall be a separate 
component unit of the Department of Finance (DOF) and shall operate under its 
administration, supervision and control. 
Section 4. Purpose. - The Philippine Tax Academy shall serve as the 
primary training school for selected applicants and continuing good education and 
training for tax collectors and administrators. For this purpose, it shall provide and 
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implement a curriculum for tax collectors and administrators, and shall conduct 
seminars, workshops and other training programs designed to mold, develop, and 
enhance their skills and knowledge, moral fitness, efficiency and capability. It 
shall perform such other functions and duties as may be necessary in carrying out 
its mandate. 
Section 5. Location. - The Philippine Tax Academy shall be located in 
Tagaytay City, or in such other place or places as the Department of Finance may 
determine. 
Section 6. Governing Board. - (a) The Philippine Tax Academy shall have 
a Governing Board to be known as the Board of Trustees, composed of the 
following: 
1. Department of Finance 
2. Bureau of Internal Revenue 
3. Bureau of Customs 
4. Bureau of Local Government Finance 
5. Three representatives from the Academe 
@) The Board of Trustees shall be appointed by the President of the 
Philippines from nominees of the Department of Finance. The 
representatives coming from the academe shall be appointed from nominees 
of State Universities or accredited private institutions, chosen based on 
hidher integrity, probity and proven expertise in the field of taxation and 
public administration. 
(c) The Board Member representing the DOF shall serve as the ex-officio 
Chairperson of the Board. 
(d) The Board Member representing the BIR and BOC shall serve as the 
ex-office vice-chairpersons. 
(e) The members of the Board shall serve for a minimum of three (3) years. 
In case of vacancy in the Board, the person so appointed or designated shall 
serve only for the unexpired term. They shall serve without compensation 
for the performance of their functions but they shall be entitled to 
reasonable honoraria/allowance pursuant to existing laws and regulations. 
The representatives from the Academe must have at least five (5) years 
teaching experience in taxation, public finance, public administration and have 
taught in a reputable school for the same number of years. 
Section 7. 
The Executive Officers - The Executive Officials of the 
Academy shall be composed of a Chancellor, a Vice-Chancellor, and an Executive 
Director, to be appointed by the Department of Finance Secretary for a term of 
three (3) years without prejudice to subsequent reappointment. 
Section 8. The Corps of Professional Lecturers - The Philippine Tax 
Academy shall be staffed by a Corps of Professional Lecturers with sufficient 
knowledge, education, training, and actual experience in taxation, public finance, 
and revenue administration, among others. A Lecturer shall be nominated by any 
of the Board of Trustees. 
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Section 9. Authority to Enter into a Consortium - The Philippine Tax 
Academy may enter into a consortium agreements with the University of the 
Philippines and other training institutions for the development and implementation 
of the curriculum, programs for orientation, career development and continuing 
educations in tax collection, auditing, and administration. 
Section 10. -Income, legacies, gijts, donations. - All incomes, legacies, 
gifts, and donations for the benefit of the Philippine Tax Academy or for its 
support or maintenance shall be exempt from the payment of all forms of taxes, 
donors and donees’ taxes, fees, income tax, real estate, assessments, and other 
charges of the government, its branches and subdivisions. 
All legacies, gifts, donations to the Philippine Tax Academy established 
under this act shall constitute a special fund to be known as the Tax Academy 
Fund. This Fund shall be administered and disbursed by the Board of Trustees of 
the Philippine Tax Academy exclusively for the purposes of this Act. 
Section 1 1. Funding. - The amount necessary to carry out the purposes of 
this Act, including the operation, maintenance and improvement of the Philippine 
Tax Academy shall be included in the General Appropriations Act and every year 
thereafter under the program of the Department of Finance. 
Section 12. Auditing. - The book of accounts of the Philippine Tax 
Academy shall be subject to periodic audit by the Commission on Audit. 
Section 13. Annual Report. - The Philippine Tax Academy shall render to 
the President, ihe Secretary of Finance and the Committee on Ways and Means of 
both houses of Congress an annual report of its activities, accomplishments, and 
recommendations. 
ARTICLE I11 
MISCELLANEOUS PROVISIONS 
Section 14. Implementing Rules and Regulations. - The Secretary of 
Finance shall issue within ninety (90) days the rules and regulations for the 
effective implementation of this Act. 
Section 15. Repealing Clause. - All laws, decrees, orders, rules and 
regulations, policies, programs or parts thereof, that are inconsistent with any of 
the provisions of this Act, are hereby repealed, amended or modified accordingly. 
Section 16. Separability Clause.- If for any reason, any section or provision 
of this Act is declared to be unconstitutional or invalid, the other sections or 
provisions hereof which are not affected hereby, shall continue in full force and 
effect. 
Section 17. Effectivity. - This Act shall take effect fifteen (15) days after its 
complete publication in the Official Gazette or in at least two (2) newspapers of 
general circulation, whichever comes earlier. 
Approved, 
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