REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  9755 
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
EXPLANATORY NOTE 
During his first State of the Nation Address (SONA) in July 2022, President 
Ferdinand R. Marcos Jr. said the government is eyeing to put in place tax administration 
reforms to increase revenue collection as the economy is expected to grow by 6.5% to 
7.5%. Tax compliance procedures will also be streamlined to promote ease of paying 
taxes.1  
President Marcos also emphasized his administration’s commitment to fast-track 
measures to digitalize government services to ensure efficiency, accessibility, and 
responsiveness to the public.2 In recent years, major tax reform laws were enacted to 
accelerate poverty reduction, address inequality, and invite a more sustainable stream of 
revenues. Putting in place the corresponding tax administration reforms will maximize the 
benefits of these key legislations.  
As explained by the International Monetary Fund (IMF), “the ‘best’ tax 
administration is not simply one that collects the most revenue; How that revenue is raised 
may be equally important’’3 and “improved tax administration is a prerequisite for the 
success of tax reform.’’4  
Furthermore, studies on taxpayer behavior show services that facilitate reporting, 
filing, and paying taxes, among others, may prove to be a more cost-effective way to 
achieve compliance, rather than measures designed to counter non-compliance.5  
This measure aims to institute administrative tax reforms to improve bureaucratic 
efficiency and effectiveness by simplifying the process for the filing of returns and 
payment of taxes, thereby providing taxpayers with convenient and responsive tax 
services. It seeks to modernize our tax administration system by removing obstacles that 
prevent taxpayers from complying with tax laws and introducing procedures that serve 
the needs of different types of taxpayers, including a new provision on value added tax 
December 12, 2023
5:49 pm


(VAT) refund for tourists. These reforms are in line with this administration’s 8-point 
socioeconomic agenda in the near and medium term (i.e., improving bureaucratic 
efficiency), and ultimately improve the revenue performance of the country.  
In view of the foregoing, the passage of this bill is earnestly sought. 
HON. EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
______________________________________________________________________ 
1 Philippine News Agency. PBBM eyes tax admin reforms to boost revenue collection. 25 July 2022. Available at 
https://www,pna.gov.ph/articles/1179715. Accessed on 20 April 2023. 2 Philstar. Marcos to ramp up digitalization of government. 03 
January 
2023. 
Available 
at 
https://www.philstar.com/headlines/2023/01/03/2234896/marcos-ramp-diqitalization-qovernment. 
Accessed on 20 April 2023. 3 International Monetary Fund (IMF). The Reform of Tax Administration. 1992. Available at 
https://www.elibrarv.imf.orq/display/book/9781557753175/chOOI .xml?tabs-fulltext. Accessed on 20 April 2023. 4 IMF. Tax Reform in 
Developing Countries. 1991. Available at https://www.elibrarv.imf.orq/downloadpdf/iournals/022/0028/002/article-A015-en.pdf. 
Accessed on 20 April 2023 


REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  9755
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
AN ACT 
INTRODUCING ADMINISTRATIVE TAX REFORMS, AMENDING SECTIONS 21,22, 51, 
56, 57, 58, 77, 81, 90, 91,103,106,108,109,110, 112, 113, 114, 115, 116, 117, 118, 119, 
120, 128, 200, 236, 237, 245, AND 248 AND CREATING A NEW SECTION 112-A 
UNDER THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, AND 
FOR OTHER PURPOSES  
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 “Ease of Paying Taxes Act.” 
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State:  
a) To provide a healthy environment for the tax paying public that protects and safeguards
taxpayer rights and welfare, as well as assures the fair treatment of all taxpayers:
b) To modernize tax administration and improve its efficiency and effectiveness by
providing mechanisms that encourage proper and easy compliance at the least cost and
resources possible;
c) To update the taxation system, adopt best practices, and replace antiquated
procedures such as requiring the filing of a return or declaration for the payment of taxes
or the “pay as you file” system and restriction of venue for filing and payment: and
d) To enact policies and procedures which are appropriate to different types of taxpayers.
SEC. 3. Section 21 of the National Internal Revenue Code of 1997, as amended, 2 is 
hereby amended to read as follows: 3 “SEC. 21. Sources of Revenue AND 


CLASSIFICATION OF TAXPAYERS. - (A) SOURCES OF REVENUE. - The following 
taxes, fees and charges are deemed to be national internal revenue taxes: [(a)] (1) 
Income tax; [(b)] (2) Estate and donor's taxes; [(e)] (3) Value-added tax; [(4)1 (4) Other 
percentage taxes; [(e)] (5) Excise taxes; [(f)] (6) Documentary stamp taxes; and (7) Such 
other taxes as are or hereafter may be imposed and collected by the Bureau of Internal 
Revenue. (B) CLASSIFICATION OF TAXPAYERS. - FOR PURPOSES OF RESPONSIVE 
TAX ADMINISTRATION, THE SECRETARY OF FINANCE, UPON RECOMMENDATION 
OF THE COMMISSIONER, SHALL ESTABLISH REASONABLE CRITERIA FOR 
CLASSIFYING TAXPAYERS, TAKING INTO CONSIDERATION THEIR CAPACITY TO 
COMPLY WITH TAX RULES AND REGULATIONS, THE AMOUNT AND TYPE OF TAX 
PAID, THE GROSS SALES AND/OR RECEIPTS OF THE TAXPAYER, AS WELL AS 
INFLATION, VOLUME OF BUSINESS, WAGE AND EMPLOYMENT LEVELS, AND 
SIMILAR ECONOMIC AND FINANCIAL FACTORS: PROVIDED, THAT THE 
SECRETARY OF FINANCE SHALL DETERMINE CLASSIFICATIONS FOR MEDIUM 
AND LARGE TAXPAYERS AND INTRODUCE ADDITIONAL CLASSIFICATIONS AS 
MAY BE DEEMED NECESSARY AND REASONABLE TO ACHIEVE BETTER TAX 
ADMINISTRATION AND SERVICE EFFICIENCY: PROVIDED, FURTHER, THAT THE 
BUREAU OF INTERNAL REVENUE MAY PROVIDE FOR A SPECIAL UNIT TO CATER 
TO THE NEEDS OF EVERY CLASS OF TAXPAYER: PROVIDED, FINALLY, THAT FOR 
EASE OF COMPLIANCE TO TAX RULES AND REGULATIONS, SIMPLIFIED TAX 
RETURNS AND PROCESSES SHALL BE IMPLEMENTED FOR TAXPAYERS NOT 
CLASSIFIED AS MEDIUM OR LARGE.”  
 
SEC. 4. Section 22 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 22. Definitions. - When used in this 
Title: XXX (KK) THE TERM TILING OF RETURN' SHALL REFER TO THE ACT OF 
ACCOMPLISHING AND SUBMITTING THE PRESCRIBED TAX RETURN, IN PAPER 
FORM OR ELECTRONIC FORM, TO THE BUREAU OF INTERNAL REVENUE AS 
REQUIRED UNDER THIS CODE OR AS PRECRIBED UNDER EXISTING RULES AND 
REGULATIONS. (LL) THE TERM ‘PAYMENT OF TAX’ OR ‘REMITTANCE OF TAX 
SHALL REFER TO THE ACT OF DELIVERING THE AMOUNT OF TAX DUE OR 
WITHHELD, EITHER PERSONALLY OR ELECTRONICALLY, TO THE BUREAU OF 
INTERNAL REVENUE AS REQUIRED UNDER THIS CODE OR AS PRESCRIBED 
UNDER EXISTING RULES AND REGULATIONS.”  
 
SEC. 5. Section 51 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 51. Individual Returns. - XXX (B) 
Where to File. - Except in cases where the Commissioner otherwise permits, the return 
shall be filed, EITHER PERSONALLY OR ELECTRONICALLY, with any authorized agent 
bank. Revenue District Officer, OR Collection Agent [or duly authorized Treasurer-of the-
city or municipality in which such person has his legal residence or principal place of 


business in the-Philippines, or if there be no legal residence or place of business in the 
Philippines, with the Office-of the Commissioner]. XXX (D) Husband and Wife. - Married 
individuals, whether citizens, resident or nonresident aliens, who do not derive income 
purely from compensation, shall file, EITHER PERSONALLY OR ELECTORNICALLY, a 
return for the taxable year to include the income of both spouses, but where it is 
impracticable for the spouses to file one return, each spouse may file a separate return 
of income but the returns so filed shall be consolidated by the Bureau for purposes of 
verification for the taxable year. X X X”  
 
SEC. 6. Section 56 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 56. Payment and Assessment of 
Income Tax for Individuals and Corporations. - (A) Payment of Tax. - (1) In General. - The 
total amount of tax imposed by this Title shall be paid, EITHER PERSONALLY OR 
ELECTRONICALLY, by the person subject thereto [at the time] DURING the FILING OF 
THE return [is filed]. In the case of tramp vessels, the shipping agents and/or the 
husbanding agents, and in their absence, the captains thereof are required to file the 
return herein provided and pay the tax due thereon before their departure. Upon failure 
of the said agents or captains to file the return and pay the tax, the Bureau of Customs is 
hereby authorized to hold the vessel and prevent its departure until proof of payment of 
the tax is presented or a sufficient bond is filed to answer for the tax due. X X X”  
 
SEC. 7. Section 57 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 57. Withholding of Tax at Source. - 
XXX (C) TIMING OF WITHHOLDING TAXES. - THE OBLIGATION TO DEDUCT AND 
WITHHOLD THE TAX ARISES AT THE TIME PAYMENT IS MADE. [(G)] (D) Tax-free 
Covenant Bonds. - X X X The Department of Finance shall review, at least once every 
three (3) years, regulations and processes for the withholding of creditable tax under this 
Code, and direct the Bureau of Internal Revenue to amend rules and regulations for the 
same, should it be found during the review that the existing rules, regulations, and 
processes for the withholding of creditable tax under this Code adversely and materially 
impact the taxpayer[s]: PROVIDED, THAT THOSE NOT CLASSIFIED AS MEDIUM OR 
LARGE TAXPAYERS SHALL NOT BE REQUIRED TO WITHHOLD TAXES UNDER 
SUBSECTION (B) OF THIS SECTION.”  
 
SEC. 8. Section 58 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 58. Returns and Payment of Taxes 
Withheld at Source. - (A) Quarterly Returns and Payments of Taxes Withheld. - Taxes 
deducted and withheld under Section 57 by withholding agents shall be covered by a 
return and paid to, EITHER PERSONALLY OR ELECTRONICALLY, except in cases 
where the Commissioner otherwise permits, any authorized agent bank, Revenue District 


Officer, OR Collection Agent [, or duly authorized Treasurer of the city or municipality 
where the withholding agent has his legal residence or principal place of business, or-
where the withholding agent is a corporation where the principal office is located]. X X X”  
 
SEC. 9. Section 77 of the National Internal Revenue Code of 1997, as amended, is 
hereby amended to read as follows: “SEC. 77. Place and Time of Filing and Payment 
of Quarterly Corporate Income Tax. - (A) Place of Filing. - Except as the Commissioner 
otherwise permits, the quarterly income tax declaration required in Section 75 and the 
final adjustment return required in Section 76 shall be filed EITHER PERSONALLY OR 
ELECTRONICALLY, with [the] ANY authorized agent banks, Revenue District Officer or 
Collection Agent [or duly authorized Treasurer of the-city or municipality having 
jurisdiction over the location of the principal-office of the corporation filing the return or 
place where its main books of accounts and other data from which-the return is prepared 
are kept]. (B) Time of Filing the Income Tax Return. - The corporate quarterly declaration 
shall be filed, EITHER PERSONALLY OR ELECTRONICALLY, within sixty (60) days 
following the close of each of the first three (3) quarters of the taxable year. The final 
adjustment return shall be filed on or before the fifteenth (15th) day of April, or on or before 
the fifteenth (15th) day of the fourth (4th) month following the close of the fiscal year, as 
the case may be. (C) Time of Payment of the Income Tax. - The income tax due on the 
corporate quarterly returns and the final adjustment income tax returns computed in 
accordance with Sections 75 and 76 shall be paid, EITHER PERSONALLY OR 
ELECTRONICALLY, [at the time] DURING THE FILING OF the declaration or return [is 
filed] in a manner prescribed by the Commissioner.”  
 
SEC. 10. Section 81 of the National Internal Revenue Code of 1997, as amended, is 
hereby amended to read as follows: “SEC. 81. Filing of Return and Payment of Taxes 
Withheld. - Except as the Commissioner otherwise permits, taxes deducted and withheld 
by the employer on wages of employees shall be covered by a return and paid, EITHER 
PERSONALLY OR ELECTRONICALLY, to any authorized agent bank, REVENUE 
DISTRICT OFFICER, OR Collection Agent, or the duly authorized Treasurer of the city or 
municipality where the employer has his legal residence or principal place of business, or 
in case the employer is a corporation-where the principal office is located]. The return 
shall be filed and [the payment made] PAID, EITHER PERSONALLY OR 
ELECTRONICALLY, within twenty-five (25) days from the close of each calendar quarter: 
Provided, however, That the Commissioner may, with the approval of the Secretary of 
Finance, require the employers to pay or deposit the taxes deducted and withheld at more 
frequent intervals, in cases where such requirement is deemed necessary to protect the 
interest of the Government. X X X”  
 


SEC. 11. Section 90 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 90. Estate Tax Returns. - XXX (D) 
Place of Filing. - Except in cases where the Commissioner otherwise permits, the return 
required under Subsection (A) shall be filed, EITHER PERSONALLY OR 
ELECTRONICALLY, with any authorized agent bank, [of] Revenue District Officer, OR 
Collection Officer[, or duly authorized Treasurer of the city or municipality in-which the 
decedent-was domiciled at the time of his death or if there be no legal residence in the 
Philippines, with the Office of the Commissioner].”  
 
SEC. 12. Section 91 of the National Internal Revenue Code of 1997, as amended, is 
hereby further amended to read as follows: “SEC. 91. Payment of Tax. - (A) Time of 
Payment. - The estate tax imposed by Section 84 shall be paid, EITHER PERSONALLY 
OR ELECTRONICALLY, [at the time] DURING THE FILING OF the return [is filed] by the 
executor, administrator or the heirs. XXX (D) Liability for Payment. - The estate tax 
imposed by Section 84 shall be paid, EITHER PERSONALLY OR ELECTRONICALLY, by 
the executor or administrator before delivery to any beneficiary of bis THE distributive 
share of the estate. Such beneficiary shall to the extent of bis THE distributive share of 
the estate, be subsidiarily liable for the payment of such portion of the estate tax as bis 
THE distributive share bears to the value of the total net estate. X X X”  
 
SEC. 13. Section 103 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows: “SEC. 103. Filing of Return and Payment of Tax. 
- XXX (B) Time and Place of Filing and Payment. - The return of the donor required in this 
Section shall be filed, EITHER PERSONALLY OR ELECTRONICALLY, within thirty (30) 
days after the date the gift is made and the tax due thereon shall be paid, EITHER 
PERSONALLY OR ELECTRONICALLY, [at the time of filing] DURING THE FILING OF 
THE DECLARATION OR RETURN IN A MANNER PRESCRIBED BY THE 
COMMISSIONER. Except in cases where the Commissioner otherwise permits, the 
return shall be filed and the tax paid, EITHER PERSONALLY OR ELECTRONICALLY, to 
any authorized agent bank, [the] Revenue District Officer, OR Revenue Collection Officer 
[or-duty authorized Treasurer of the city or municipality where the donor was domiciled at 
the time of the transfer, or if there be no legal residence in the Philippines with the Office 
of the-Commissioner]. In the case of gifts made by a nonresident, the return may be filed, 
EITHER PERSONALLY OR ELECTRONICALLY, with the Philippine Embassy or 
Consulate in the country where he is domiciled at the time of the transfer, or directly with 
the Office of the Commissioner.”  
 
SEC. 14. Section 106 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 106. Value-Added Tax on Sale of 
Goods or Properties. - XXX (D) Sales Returns, Allowances and Sales Discounts. - The 


value of goods or properties sold and subsequently returned or for which allowances were 
granted by a VAT-registered person may be deducted from the gross sales receipts for 
the quarter in which a refund is made or a credit memorandum or refund is issued. Sales 
discount granted and indicated in the invoice at the time of sale and the grant of which 
does not depend upon the happening of a future event may be excluded from the gross 
sales within the same quarter it was given. X X X”  
 
SEC. 15. Section 108 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 108. Value-added Tax on Sale of 
Services and Use or Lease of Properties. - (A) Rate and Base of Tax. - There shall be 
levied, assessed and collected, a value-added tax equivalent to twelve percent (12%) of 
gross [receipts] SALES derived from the sale or exchange of services, including the use 
or lease of properties. XXX FOR PURPOSES OF VAT, [T]the term “gross [receipts]” 
SALES means the total amount of money or its equivalent [representing the contract price 
or compensation, service fee, rental or royalty, including the amount charged for materials 
supplied with the services and deposits and advanced payments actually or constructively 
received during the taxable quarter for the services performed-or-to-be performed for 
another person,] WHICH THE PURCHASER PAYS OR IS OBLIGATED TO PAY TO THE 
SELLER IN CONSIDERATION OF THE SALE, BARTER, OR EXCHANGE OF 
SERVICES AND THE USE OR LEASE OF PROPERTIES, excluding value-added tax. 
THE LIABILITY TO PAY VAT SHALL BE AT THE TIME OF THE ISSUANCE OF THE 
INVOICE. XXX (C) SALES RETURNS, ALLOWANCES AND SALES DISCOUNTS. - THE 
VALUE OF SERVICES SOLD AND SUBSEQUENTLY REFUNDED OR FOR WHICH 
ALLOWANCES WERE GRANTED BY A VAT-REGISTERED PERSON MAY BE 
DEDUCTED FROM THE GROSS SALES FOR THE QUARTER IN WHICH A REFUND 
IS MADE OR A CREDIT MEMORANDUM IS ISSUED. ANY SALES DISCOUNT 
GRANTED AND INDICATED IN THE INVOICE AT THE TIME OF SALE AND THE 
GRANT OF WHICH DOES NOT DEPEND UPON A FUTURE EVENT MAY BE 
EXCLUDED FROM THE GROSS SALES OF THE QUARTER IT WAS GIVEN.”  
 
SEC. 16. Section 109 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 109. Exempt Transactions. - (1) 
Subject to the provisions of Subsection (2) hereof, the following transactions shall be 
exempt from the value-added tax: XXX (CC) Sale or lease of goods or properties or the 
performance of services other than the transactions mentioned in the preceding 
paragraphs, the gross annual sales [and/or receipts] do not exceed the amount of Three 
million pesos (P3,000,000.00)[.]; PROVIDED, THAT THE AMOUNT HEREIN STATED 
SHALL BE ADJUSTED TO ITS PRESENT VALUE NOT LATER THAN JANUARY 01, 
2024, AND EVERY THREE (3) YEARS THEREAFTER, BASED ON THE CONSUMER 
PRICE INDEX (CPI) THAT IS PUBLISHED BY THE PHILIPPINE STATISTICS 
AUTHORITY (PSA).”  


SEC. 17. Section 110 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 110. Tax Credits. - (A) Creditable 
Input Tax. - (1) Any input tax evidenced by a VAT invoice [or official receipt] issued in 
accordance with Section 113 hereof on the following transactions shall be creditable 
against the output tax: XXX (b) Purchase of services on which a value-added tax has 
been actually [paid] BILLED BY THE SUPPLIER. X X X”  
 
SEC. 18. Section 112 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 112. Refunds or Tax Credits of 
Input Tax. - (A) Zero-rated or Effectively Zero-rated Sales. - Any VAT-registered person, 
whose sales are zero-rated or effectively zero-rated may, within two (2) years after the 
close of the taxable quarter when the sales were made, apply for the [tax certificate  or] 
refund of creditable input tax due or paid attributable to such sales, except transitional 
input tax, to the extent that such input tax has not been applied against output tax; 
Provided, however, That in the case of zero-rated sales under Section 106 (A)(2)(a)(1), 
(2) and (b) and Section 108 (B)(1) and (2), the acceptable foreign currency exchange 
proceeds thereof had been duly accounted for in accordance with the rules and 
regulations of the Bangko Sentral ng Pilipinas (BSP): Provided, further. That where the 
taxpayer is engaged in zero-rated or effectively zero-rated sale and also in taxable or 
exempt sale of goods of properties or services, and the amount of creditable input tax 
due or paid cannot be directly and entirely attributed to any one of the transactions, it shall 
be allocated proportionately on the basis of the volume of sales: Provided, finally. That for 
a person making sales that are zero-rated under Section 108 (B)(6), the input taxes shall 
be allocated ratably between his THE zero-rated and non-zero-rated sales. (C) Period 
within which THE Refund or Tax Credit of Input Taxes shall be Made. - In proper cases, 
the Commissioner shall grant a refund for creditable input taxes within ninety (90) days 
from the date of submission of the [official receipts or] invoices and other documents in 
support of the application filed in accordance with Subsections (A) and (B) hereof. VAT 
REFUND CLAIMS SHALL BE CLASSIFIED INTO LOW-, MEDIUM-, AND HIGH-RISK 
CLAIMS: PROVIDED, THAT MEDIUM- AND HIGH-RISK CLAIMS SHALL BE SUBJECT 
TO AUDIT OR OTHER VERIFICATION PROCESSES IN ACCORDANCE WITH THE 
BIR’S NATIONAL AUDIT PROGRAM FOR THE YEAR: Provided, FURTHER, That should 
the Commissioner find that the grant of refund is not proper, the Commissioner must state 
in writing the legal and factual basis for the denial. XXX (D) Manner of Giving Refund. - 
Refunds shall be made upon warrants drawn by the Commissioner or by THE duly 
authorized representative without the necessity of being countersigned by the Chairman, 
Commission on Audit, the provisions of the Administrative Code of 1987 to the contrary 
notwithstanding: Provided, That refunds under this paragraph shall be subject to post 
audit by the Commission on Audit FOLLOWING THE RISK-BASED CLASSIFICATION 
ABOVE-DESCRIBED.”  
 


SEC. 19. A new section designated as Section 112-A under Chapter I, Title IV of the 
National Internal Revenue Code of 1997, as amended, is hereby inserted to read as 
follows: “SEC. 112-A. VAT REFUND FOR TOURISTS. - A TOURIST SHALL BE ELIGIBLE 
FOR A VALUE-ADDED TAX (VAT) REFUND ON GOODS PURCHASED IN THE 
PHILIPPINES IF SUCH GOODS ARE SHIPPED OR TAKEN OUT OF THE COUNTRY 
WITHIN SIXTY (60) DAYS FROM THE DATE OF PURCHASE, AND THE TOTAL VALUE 
OF GOODS PURCHASED MUST AT LEAST BE THREE THOUSAND PESOS 
(P3,000.00): PROVIDED, THAT SUCH THRESHOLD MAY BE REASONABLY 
ADJUSTED TO AN AMOUNT THAT WOULD SUFFICIENTLY COVER THE COST OF 
ADMINISTERING THE REFUND, AS DETERMINED BY THE SECRETARY OF 
FINANCE, UPON RECOMMENDATION OF THE COMMISSIONER OF INTERNAL 
REVENUE. FOR PURPOSES OF THIS SECTION, A “TOURIST” SHALL REFER TO A 
FOREIGN INDIVIDUAL NOT A RESIDENT OF, NOR ENGAGED IN TRADE OR 
BUSINESS IN, THE PHILIPPINES, WHO COMES TO THE COUNTRY FOR TRAVEL, 
RECREATION, LEISURE, OR BUSINESS FOR A PERIOD NOT EXCEEDING SIX (6) 
MONTHS.”  
 
SEC. 20. Section 113 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 113. Invoicing and Accounting 
Requirements for VAT-Registered Persons. - (A) Invoicing Requirement[s]. - A VAT-
registered person shall issue A VAT invoice for every sale, barter, [or] exchange, OR 
LEASE of goods or properties, A VAT-official-receipt for every-tease of goods or 
properties,] and for every sale, barter or exchange of services. (B) Information Contained 
in the VAT Invoice [or VAT Official Receipt]. - The following information shall be indicated 
in the VAT invoice [or VAT official receipt]: (1) A statement that the seller is a VAT-
registered person, followed by [bis] THE SELLER’S Taxpayer's Identification Number 
(TIN); (2) The total amount which the purchaser pays or is obligated to pay to the seller 
with the indication that such amount includes the value-added tax. Provided, That: (a) 
The amount of the tax shall be shown as a separate item in the invoice [or receipt]; (b) If 
the sale is exempt from value-added tax, the term “VAT-exempt sale” shall be written or 
printed prominently on the invoice [or receipt]; (c) If the sale is subject to zero percent 
(0%) value-added tax, the term “zero traded sale” shall be written or printed prominently 
on the invoice [or receipt]; (d) If the sale involved goods, properties or services some of 
which are subject to and some of which are VAT zero-rated or VAT-exempt, the invoice 
[or receipt] shall clearly indicate the break-down of the sale price between its taxable, 
exempt and zero-rated components, and the calculation of the value-added tax on each 
portion of the sale shall be shown on the invoice [or-receipt]: Provided, That the seller 
may issue separate invoices [or receipts] for the taxable, exempt, and zero-rated 
components of the sale. 42 XXX 10 (D) Consequence of Issuing AN Erroneous VAT 
Invoice [or VAT Official Receipt]. - (1) If a person who is not a VAT-registered person 
issues an invoice [or receipt] showing [] THE PERSON’S Taxpayer Identification Number 
(TIN), followed by the word “VAT”: XXX (b) The VAT shall, if the other requisite information 


required under Subsection (B) hereof is shown on the invoice [or receipt], be recognized 
as an input tax credit to the purchaser under Section 110 of this Code. (2) If a VAT-
registered person issues a VAT invoice [or VAT official receipt] for a VAT-exempt 
transaction, but fails to display prominently on the invoice [or receipt] the term “VAT-
exempt sale, "the issuer shall be liable to account for the tax imposed in section 106 or 
108 as if Section 109 did not apply. (3) IF A VAT-REGISTERED PERSON ISSUES A VAT 
INVOICE TO ANOTHER VAT-REGISTERED PERSON WITH LACKING INFORMATION 
REQUIRED UNDER SUBSECTION (B) HEREOF, THE ISSUER SHALL BE LIABLE TO 
A PENALTY IMPOSABLE FOR NON-COMPLIANCE WITH THE INVOICING 
REQUIREMENT: PROVIDED, HOWEVER, THAT THE VAT SHALL STILL BE 
RECOGNIZED AS TAX CREDIT ON THE PART OF THE PURCHASER PURSUANT TO 
SECTION 110 OF THIS CODE IF THE LACKING INFORMATION DO NOT PERTAIN TO 
THE AMOUNT OF SALES, THE AMOUT OF VAT, THE NAME AND TIN OF BOTH THE 
PURCHASER AND ISSUER/SELLER, AND THE DATE OF THE TRANSACTION.  
 
SEC. 21. Section 114 of the National Internal Revenue Code of 1997, as 26 amended, 
is hereby further amended to read as follows: 27 “SEC. 114. Return and Payment of 
Value-Added Tax. - 28 (A) In General. - Every person liable to pay the value-added tax 
imposed under 29 this Title shall file, EITHER PERSONALLY OR ELECTRONICALLY, a 
quarterly 30 return of the amount of THE gross sales [or receipts] within twenty-five (25) 
31 days following the close of each taxable quarter prescribed for each taxpayer: 32 
Provided, however, That VAT-registered persons shall pay, EITHER 33 PERSONALLY 
OR ELECTRONICALLY, the value-added tax on a monthly 34 basis: Provided, finally. 
That beginning January 1,2023, the filing and payment 35 required under this Subsection 
shall be done within twenty-five (25) days 36 following the close of each taxable quarter. 
XXX (B) Where to File the Return and Pay the Tax. - Except as the Commissioner 
otherwise permits, the return shall be filed with and the tax paid, EITHER 11 
PERSONALLY OR ELECTRONICALLY, to any authorized agent bank OR Revenue 
Collection Officer [or duly authorized city or municipal Treasurer in the Philippines within 
the revenue district where-the taxpayer is registered or required to register]. XXX  
 
SEC. 22. Section 115 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows: “SEC. 115. Power of the Commissioner to 
Suspend the Business Operations of a Taxpayer. -The Commissioner or his/HER 
authorized representative is hereby empowered to suspend the business operations and 
temporarily close the business establishment of any person for any of the following 
violations: (a) In the case of a VAT-registered Person. - (1) Failure to issue [receipts-or] 
invoices; (2) Failure to file a value-added tax return as required under Section 114; or (3) 
Understatement of taxable sales [or receipts] by thirty percent (30%) or more of THE 
correct taxable sales [or receipts] for the taxable quarter. X X X”  


 
SEC. 23. Section 116 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 116. Tax on Persons Exempt 
from Value-Added Tax (VAT). -Any person whose sales [of-receipts] are exempt under 
Section 109 (CC) of this Code from the payment of value-added tax and who is not a VAT-
registered person shall pay, EITHER PERSONALLY OR ELECTRONICALLY, a tax 
equivalent to three percent (3%) of bis THE gross quarterly sales [or receipts]: Provided, 
That cooperatives shall be exempt from the three percent (3%) gross receipts tax herein 
imposed: Provided, further. That effective July 1,2020 until June 30,2023, the rate shall 
be one percent (1%).”  
 
SEC. 24. Section 117 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 117. Percentage Tax on Domestic 
Carriers and Keepers of Garages. - Cars for rent or hire driven by the lessee, 
transportation contractors, including persons who transport passengers for hire, and other 
domestic carriers by land, for the transport of passengers (except owners of bancas and 
owners of animal drawn two wheeled vehicle), and keepers of garages shall pay a tax 
equivalent to three percent (3%) of their quarterly gross [receipts] SALES. The gross 
[receipts] SALES of common carriers derived from their incoming and outgoing freight 
shall not be subjected to the local taxes imposed under Republic Act No. 7160, otherwise 
known as the Local Government Code of 1991. [In computing the percentage tax provided 
in this Section, the following shall be considered the minimum quarterly gross receipts in 
each particular case: - Jeepney for hire 2. Provincial—P1,200 1. Not exceeding 30 
passengers—P3,600 2. Exceeding 30 but not exceeding 50 passengers - P6,000 3. 
Exceeding 50 passengers - P7,200. Taxis 1. Manila and other cities - P3,600 2. 
Provincial—P2,000 Car for hire (with chauffer) - P3,000 Car for hire (without chauffer) – 
P1,800]”  
 
SEC. 25. Section 118 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 118. Percentage Tax on 
International Carriers. - (A) International air carriers doing business in the Philippines on 
their gross [receipts] SALES derived from transport of cargo from the Philippines to 
another country shall pay a tax of three percent (3%) of their quarterly gross [receipts] 
SALES. (B) International shipping carriers doing business in the Philippines on their gross 
[receipts] SALES derived from transport of cargo from the Philippines to another country 
shall pay a tax equivalent to three percent (3%) of their quarterly gross SALES.”  
 
SEC. 26. Section 119 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 119. Tax on Franchises. - Any 


provision of general or special law to the contrary notwithstanding, there shall be levied, 
assessed and collected in respect to all franchises on radio and/or television broadcasting 
companies whose annual gross [receipts] SALES of the preceding year do not exceed 
Ten million pesos (PI0,000.00), subject to Section 236 of this Code, a tax of three percent 
(3%) and on gas and water utilities, a tax of two percent (2%) on the gross [receipts] 
SALES derived from the business covered by the law granting the franchise: Provided, 
however, That radio and television broadcasting companies referred to in this Section 
shall have an option to be registered as a value-added taxpayer and pay the tax due 
thereon: Provided, further. That once the option is exercised, said option shall be 
irrevocable. X X X”  
 
SEC. 27. Section 120 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows; “SEC. 120. Tax on Overseas Dispatch, Message 
or Conversation Originating from the Philippines. - (A) Persons Liable. - There shall be 
collected upon every overseas dispatch, message or conversation transmitted from the 
Philippines by telephone, telegraph, telewriter exchange, wireless and other 
communication equipment services, a tax of ten percent (10%) on the amount PAYABLE 
for such services. The tax imposed in this Section shall be payable by the person paying 
for the services rendered and shall be paid to the person rendering the services who is 
required to collect and pay the tax within twenty (20) days after the end of each quarter. 
X X X”  
 
SEC. 28. Section 128 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 128. Returns and Payment of 
Percentage Taxes. - (A) Returns of Gross Sales, Receipts or Earnings and Payment of 
Tax. - (1) Persons Liable to Pay Percentage Taxes. - Every person subject to the 
percentage taxes imposed under this Title shall file, EITHER PERSONALLY OR 
ELECTRONICALLY, a quarterly return of the amount of THE PERSON’S gross sales, 
receipts or earnings and pay, EITHER PERSONALLY OR ELECTRONICALLY, the tax 
due thereon within twenty five (25) days after the end of each taxable quarter: Provided, 
That in the case of a person whose VAT registration is cancelled and who becomes liable 
to the tax imposed in Section 116 of this Code, the tax shall accrue from the date of 
cancellation and shall be paid in accordance with the provisions of this Section. (2) Person 
Retiring from Business. - Any person retiring from a business subject to percentage tax 
shall notify the nearest internal revenue officer, file, EITHER PERSONALLY OR 
ELECTRONICALLY, THE PERSON’S return and pay, EITHER PERSONALLY OR 
ELECTRONICALLY, the tax due thereon within twenty (20) days after closing [his] THE 
business. XXX (B) Where to File. - Except as the Commissioner otherwise permits, every 
person liable to the percentage tax under this Title [may, at his option^] SHALL file, 
EITHER PERSONALLY OR ELECTRONICALLY, a [separate return for each branch or 
place of business, or] a consolidated return for all branches or places of business with 


[the] ANY authorized agent bank, Revenue District Officer, OR Collection Agent [or duly-
authorized-Treasurer of the city or municipality where said business-or-principal place of 
business is located, as the  
 
SEC. 29. Section 200 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows: “SEC. 200. Payment of Documentary Stamp 
Tax. - (A) In General. - The provisions of Presidential Decree No. 1045 notwithstanding, 
any person liable to pay documentary stamp tax upon any document subject to tax under 
Title VII of this Code shall file, EITHER PERSONALLY OR ELECTRONICALLY, a tax 
return and pay, EITHER PERSONALLY OR ELECTRONICALLY, the tax in accordance 
with the rules and regulations to be prescribed by the Secretary of Finance, upon 
recommendation of the Commissioner. (B) Time for Filing and Payment of the Tax. - 
Except as provided by rules and regulations promulgated by the Secretary of Finance, 
upon recommendation of the Commissioner, the tax return prescribed in this Section shall 
be filed, EITHER PERSONALLY OR ELECTRONICALLY, within ten (10) days after the 
close of the month when the taxable document was made, signed, issued, accepted, or 
transferred, and the tax thereon shall be paid, EITHER PERSONALLY OR 
ELECTRONICALLY, at the same time the aforesaid return is filed. (C) Where to File. - 
Except in cases where the Commissioner otherwise permits, the aforesaid tax return shall 
be filed, EITHER PERSONALLY OR ELECTRONICALLY, with and the tax due shall be 
paid, EITHER PERSONALLY OR ELECTRONICALLY, through [the] ANY authorized 
agent bank [within the territorial-jurisdiction of The Revenue District Office which has 
jurisdiction over the residence or principal place of business of the taxpayer]. In places 
where there is no authorized agent bank, the return shall be filed with [the] A Revenue 
District Officer[7] OR [c]Collection [a]Agent[, or duly authorized-Treasurer of the-city-or 
municipality-in-which-the taxpayer has his legal residence-of principal place of business]. 
X X X”  
 
SEC. 30. Section 236 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 236. Registration Requirements. 
- (A) Requirements. - Every person subject to any internal revenue tax shall register once 
with the appropriate Revenue District Officer OR THROUGH ELECTRONIC MEANS: 
XXX  The registration shall contain the taxpayer’s name, [style,] place of residence, 
business and such other information as may be required by the Commissioner in the form 
prescribed therefor: Provided, THAT THE COMMISSIONER SHALL ENSURE THE 
AVAILABILITY OF REGISTRATION FACILITIES TO TAXPAYERS WHO ARE NOT 
RESIDING IN THE COUNTRY: PROVIDED, FURTHER, That the Commissioner shall 
simplify the business registration and tax compliance requirements of self-employed 
individuals and/or professionals. XXX  [(B) Annual Registration-Fee—An annual 
registration fee in the amount of Five hundred pesos (P500) for every separate or distinct  
establishment or place-of business, including facility types where sales transactions 


occur, shall be paid upon registration and-every year thereafter on or before the last day 
of-January- Provided, however, that cooperatives, individuals earning purely 
compensation income, whether locally or abroad, and overseas workers are not liable to 
the registration fee herein imposed. The registration fee shall be paid to an authorized 
agent bank located within the revenue district, or to the Revenue Collection Officer, or 
duly authorized Treasurer of the city or municipality where each place of business or 
branch is registered.] [(G)] (B) Registration of Each Type of Internal Revenue Tax. Every 
person who is required to register with the Bureau of Internal Revenue under Subsection 
(A) hereof, shall register each type of internal revenue tax for which he is obligated, shall 
file, EITHER PERSONALLY OR ELECTRONICALLY, a return and shall pay, EITHER 
PERSONALLY OR ELECTRONICALLY, such taxes, and shall update such registration of 
any changes in accordance with Subsection (E) hereof. [(B)] (C) Transfer of Registration. 
- In case a registered person decides to transfer [his] THE place of business or [his] head 
office or branches, it shall be [his] THE PERSON’S duty to update [his] THE registration 
status by filing, EITHER PERSONALLY OR ELECTRONICALLY, an application for 
registration information update in the form prescribed therefor. [(^](D)xxx [(F)] (E) 
Cancellation of Registration. - (1) General Rule. - The registration of any person who 
ceases to be liable to a tax type shall be cancelled upon MERE filing with the Revenue 
District Office where [he] THE PERSON is registered OR THROIGH ELECTRONIC 
MEANS, an application for registration information update in a form prescribed therefor. 
HOWEVER, THIS SHALL NOT PRECLUDE THE REVENUE DISTRICT OFFICER 
FROM CONDUCTING AN AUDIT IN ORDER TO DETERMINE TAX LIABILITY. (2) 
Cancellation of Value-Added Tax Registration. - A VAT- registered person may cancel [t:^] 
THE registration for VAT if: (a) [He] THE PERSON makes A written OR AN ELECTRONIC 
application and can demonstrate to the Commissioner’s satisfaction that [his] THE gross 
sales or receipts for the following twelve (12) months, other than those that are exempt 
under Section 109 (A) to ([U] CC), will not exceed [One million Five hundred thousand 
pesos (Php,500,000)] THREE MILLION PESOS (P3,000,000) or (b) [He] THE PERSON 
has ceased to carry on [his] THE trade or business and does not expect to recommence 
any trade or business within the next (12) months. The cancellation of registration will be 
effective from the first day of the following month. [(G)] (F) Persons Required to Register 
for Value-Added Tax. — (1) Any person who, in the course of trade or business, sells, 
barters or exchanges goods or properties, or engages in the sale or exchange of services, 
shall be liable to register, EITHER PERSONALLY OR ELECTRONICALLY, for value-
added tax if: (a) [His] THE PERSON’S gross sales [or receipts] for the past twelve (12) 
months, other than those that are exempt under Section 109 (A) to (BB), have exceeded 
[Three million pesos (P3,000,000)] THE THRESHOLD AS PROVIDED IN SECTION 109 
(CC); or (b) There are reasonable grounds to believe that THE gross sales [or receipts] 
for the next twelve (12) months, other than those that are exempt under Section 109 (A) 
to (BB), will exceed [Three million pesos (P3,000,000)] THE THRESHOLD AS 
PROVIDED IN SECTION 109 (CC). (2) Every person who becomes liable to be registered 
under paragraph (1) of this Subsection shall register, EITHER PERSONALLY OR 
ELECTRONICALLY, with the Revenue District Office which has jurisdiction over the head 


office or branch of that person, and shall pay, EITHER PERSONALLY OR 
ELECTRONICALLY, the annual registration fee prescribed in Subsection (B) hereof. If be 
SUCH PERSON fails to register, he/SHE shall be liable to pay the tax under Title IV as if 
he were a VAT registered person, but without the benefit of input tax credits for the period 
in which he was not properly registered. [(H)] (G) Optional Registration for Value-Added 
Tax of Exempt Person. - (1) Any person who is not required to register for value-added 
tax under Subsection [(G)] (F) hereof may elect to register, EITHER PERSONALLY OR 
ELECTRONICALLY, for value-added tax [by registering] with the 17 Revenue District 
Office that has a jurisdiction over the head office of that person. [, and paying the annual 
registration fee in Subsection (B) hereof.] (2) Any person who elects to register under this 
Subsection shall not be entitled to cancel THE registration under Subsection [(F)] (E)(2) 
for the next three (3) years. XXX [(f)] (H) Supplying of Taxpayer Identification Number 
(TIN). Any person required under the authority of this Code to make, render or file a return, 
statement or other document shall be supplied with or assigned a Taxpayer Identification 
Number (TIN) which [he] THE PERSON shall indicate in such return, statement or 
document filed, EITHER PERSONALLY OR ELECTRONICALLY, with the Bureau of 
Internal Revenue for [his] proper identification for tax purposes, and which [he] THE 
PERSON shall indicate in certain documents, such as, but not limited to the following: In 
cases where a registered taxpayer dies, the administrator or executor shall register, 
EITHER PERSONALLY OR ELECTRONICALLY, the estate of the decedent in 
accordance with Subsection (A) hereof and a new Taxpayer Identification Number (TIN) 
shall be supplied in accordance with the provisions of this Section. In the case of a 
nonresident decedent, the executor or administrator of the estate shall register, EITHER 
PERSONALLY OR ELECTRONICALLY, the estate with the Revenue District Office where 
[he] THE EXECUTOR OR ADMINISTRATOR is registered: Provided, however, That in 
case such executor or administrator is not registered, registration of the estate shall be 
made with the Taxpayer Identification Number (TIN) supplied by the Revenue District 
Office having jurisdiction over his SUCH PERSON’S legal residence. X X X”  
 
SEC. 31. Section 237 of the National Internal Revenue Code of 1997, as amended, 
is hereby further amended to read as follows: “SEC. 237. Issuance of Receipts or 
Sales or Commercial Invoices. - (A) Issuance. - All persons subject to an internal revenue 
tax shall, at the point of each sale and transfer of merchandise or for services rendered 
[valued at One hundred pesos (P100.00) or more] issue duly registered receipts or sales 
or commercial invoices, showing the date of transaction, quantity, unit cost and 
description of merchandise or nature of service: Provided, however. That where the 
receipt is issued to cover payment made as rentals, commissions, compensation, or fees, 
receipts or invoices shall be issued which shall show the name, [business style, if any,-] 
and address of the purchaser, customer or client: Provided, further, That where the 
purchaser is a VAT-registered person, in addition to the information herein required, the 
invoice or receipt shall further show the Taxpayer Identification Number (TIN) of the 
purchaser. X X X”  


 
SEC. 32. Section 245 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows: “SEC. 245. Specific Provisions to be Contained 
in Rules and Regulations. - The rules and regulations of the Bureau of Internal Revenue 
shall, among other things, contain provisions specifying, prescribing or defining: XXX  (J) 
The manner in which internal revenue taxes, such as income tax, including withholding 
tax, estate and donor's taxes, value-added tax, other percentage taxes, excise taxes and 
documentary stamp taxes shall be paid, EITHER PERSONALLY OR ELECTRONICALLY, 
through the collection officers of the Bureau of Internal Revenue or through duly 
authorized agent banks which are hereby deputized to receive payments of such taxes 
and the returns, papers and statements that may be filed by the taxpayers in connection 
with the payment of the tax: Provided, however, That notwithstanding the other provisions 
of this Code prescribing the place of filing of returns and payment of taxes, the 
Commissioner may, by rules and regulations, require that the tax returns, papers and 
statements and taxes of MEDIUM AND large taxpayers be filed and paid, respectively, 
through collection officers or through duly authorized agent banks: [Provided, further. That 
the Commissioner can exercise this power within six (6) years from the approval of 
Republic Act No. 7646 or the completion of its comprehensive computerization program, 
whichever comes earlier:] Provided, [finally] FURTHER, that separate venues for the 
Luzon, Visayas and Mindanao areas may be designated for the filing of tax returns and 
payment of taxes by said MEDIUM AND large taxpayers. [For the purpose of this Section, 
‘large taxpayer’ means a taxpayer who satisfies any of the following criteria: (1) Value-
Added Tax (VAT) - Business establishment with-VAT paid or payable of at least One 
hundred thousand pesos (P100, 000) for any quarter of the preceding taxable year; (2) 
Excise tax— Business establishment with excise tax paid or payable of at least One 
million pesos (P1,000,000) for the preceding taxable year (3) Corporate Income-Tax—
Business establishment with annual income tax paid or payable of at least One million 
pesos (P1,000,000) for the preceding taxable year; and  (4) Withholding tax— Business-
establishment with withholding4ax payment or remittance of at-least One million-peso& 
(P1,000,000) for-the preceding taxable year. Provided, however the Secretary of Finance, 
Upon recommendation of the Commissioner, modify or add to the above criteria for 
determining a large taxpayer after considering such factors as inflation, volume of 
business, wage The penalties prescribed under Section 248 of this Code shall be imposed 
on any violation of the rules and regulations issued by the Secretary of Finance, upon 
recommendation of the Commissioner, prescribing the place of filing of returns and 
payments of taxes by MEDIUM AND large taxpayers.”  
 
SEC. 33. Section 248 of the National Internal Revenue Code of 1997, as amended, 
is hereby amended to read as follows: “SEC. 248. Civil Penalties. - (A) There shall be 
imposed, in addition to the tax required to be paid, a penalty equivalent to [twenty-five 
percent (25%)] TWELVE PERCENT (12%) of the amount due, in the following cases: (1) 


Failure to file any return and pay the tax due thereon as required under the provisions of 
this Code or rules and regulations on the date prescribed; or [(2) Unless otherwise 
authorized by the Commissioner, filing a return with an internal-revenue officer other than 
those with whom the return is required to be filed; or] [(6)] (2) Failure to pay the deficiency 
tax within the time prescribed for its payment in the notice of assessment; or [(4)] (3) 
Failure to pay the full or part of the amount of tax shown on any return required to be filed 
under the provisions of this Code or rules and regulations, or the full amount of tax due 
for which no return is required to be filed, on or before the date prescribed for its payment. 
X X X.  
 
SEC. 34. Implementing Rules and Regulations. - Within ninety (90) calendar days from 
the effectivity of this Act, the Secretary of Finance shall, in consultation with the Bureau 
of Internal Revenue and the private sector, promulgate the necessary rules and 
regulations for its effective implementation.  
 
SEC. 35. Separability Clause. - If any provision of this Act is declared invalid or 
unconstitutional, the other provisions not affected thereby shall remain in full force and 
effect.  
 
SEC. 36. Repealing Clause. - AW laws, decrees, executive issuances, and rules 20 and 
regulations inconsistent with the provisions of this Act are hereby repealed or modified 
accordingly.  
 
SEC. 37. Effectivity. - This Act shall take effect fifteen (15) days after its complete 
publication in the Official Gazette or in a newspaper of general circulation.  
 
Approved,