Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

SIXTEENTH CONGRESS
First Regular Session

HOUSE BILLNO, 2362 _

Introduced by Representative Nicasio M. Aliping, Jr.

EXPLANATORY NOTE

This bill seeks to increase the authorized expenses of candidates and political parties
for campaign purposes to realistic price levels

Sections 100 and 101 of the Omnibus Election Code (BP Blg, 881) set the limit upon
expenses of candidates and political parties at P1.50 for every currently registered voter. That
‘was in 1985, The limit was raised in 1991 under RA No, 7166 to P10.00 for President and
Vice-President, P5.00 for political parties and independent candidates, and P3,00 for other
candidates. It remained unchanged until the 2013 elections

Candidates carry out campaigns with both personal funds and campaign contributions.
With the limit on campaign expenditures pegged at prices 12 years ago, most candidates
presently are constrained to understate expenses in their statements of election contributions
and expenditures to comply with the reportorial requirements

The understatement affects revenues. The effect is apparent once the sworn SECEs
submitted to the COMELEC are furnished to the BIR, The excess campaign contributions, if
any, may be treated as taxable income of the candidate under Revenue Regulations No. 7-
2011. But the income taxes that might be collected from unutilized contributions are much
less compared to what could be realized if actual expenses at prevailing prices are reported
and taxes therefrom are withheld and remitted under the Expanded Withholding Tax Law.

Itis therefore intently requested that this bill be pggsed



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

SIXTEENTH CONGRESS
First Regular Session

HOUSE BILLNO._2362

Introduced by Representative Nicasio M. Aliping, Jr.

AN ACT
AMENDING SECTION 13 OF REPUBLIC ACT NO. 7166 BY
INCREASING THE AUTHORIZED EXPENSES OF CANDIDATES
AND POLITICAL PARTIES DURING THE CAMPAIGN PERIOD.

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

SECTION 1. Section 13 of Republic Act No. 7166 is hereby amended to read, as
follows

“Section 13. Authorized Expenses of Candidates and Political Parties, ~
‘The aggregate amount that a candidate or registered political party may spend
for election campaign shall be as follows:

(a) For candidates, ~ ‘Thirty Pesos (P30.00) for President, [and]
Vice-President, and Senator; Twenty Pesos (P20.00) for
Member of the House of Representatives, Regional and

jal Governor and Vice-Governor, and City and

Municipal Mayor and Vice-Mayor; and for other candidates

‘Ten Pesos (P10.00) for every voter currently registered in the

constituency where he filed his certificate of candidacy

Provided, That a candidate without any political party and

without support from any political party may be allowed to

spend Twenty Pesos (P20.00) for every such voter; and



(b) For political parties and party-list groups, - Twenty Pesos
(P20.00) for every voter currently registered in the
constituency or constituencies where it has official candidates.”

SEC. 2, Separability Clause. — If any portion or provision of this Act is declared
unconstitutional, the remainder of this Act or any provision not affected thereby shall remain
in force and effect.

SEC. 3. Repealing Clause. ~ All laws, presidential decrees, letters of instruction,
executive orders, rules and regulations, or any part thereof inconsistent with the provisions of

this Act are hereby repealed, amended or modified accordingly.

SEC, 4. Effectivity. ~ This Act shall take effect after fifteen (15) days following its
publication in two (2) newspapers of general circulation.

Approved,