Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO,_1797_

Introduced by Honorable EDUARDO R. GULLAS.

EXPLANATORY NOTE

The measure seeks to give additional incentives to Barangay Captains.
Councilors, Secretary, Treasurers, including Tanods, Members of the Lupong
Tagapamayapa and all 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 calied
the Barangay.

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

au,

EDUARDO Ri GULLAS


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 1797

Introduced by Honorable EDUARDO R. GULLAS

AN ACT
PROVIDING INCENTIVES TO ALL BARANGAY OFFICIALS.
INCLUDING BARANGAY TANODS AND MEMBERS OF THE LUPO!
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 I. 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 and allowances 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 shall 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

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,