TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
S. No. 386
■'''nT,.-sfifiKi1 of lt)e
25 JULIO P3:13
RECEIVED S¥;
Introduced by Senator 3inggoy Ejercito Estrada
AN ACT
PROMOTING THE PRODUCTION OF OUTSTANDING AND WORLD-CLASS 
FILIPINO MOTION PICTURES, PROVIDING INCENTIVES TO FILMMAKERS 
AND ACTORS CLAIMING HONORS IN INTERNATIONAL FILM 
COMPETITIONS AND FOR OTHER PURPOSES
EXPLANATORY NOTE
On many occasions, Filipino filmmakers and artists brought honor and pride to 
the country for winning top prizes in international film festivals around the world. In 
2009, Brillante Mendoza was hailed as Best Director at the 62nd Cannes Film Festival 
for his film "Kinatay." Mendoza bested renowned directors like Ang Lee, Pedro 
Almodovar, Jane Campion and Quentin Tarantino, and became the first Filipino to 
win the coveted prize from the world's most prestigious film festival. Prior to this 
feat, Mendoza's cinematic works also received critical acclaim and recognition across 
the globe.
Lav Diaz, another celebrated Filipino auteur, also won major awards from the 
festivals circuit, including the Golden Leopard from the 2014 Locarno International 
Film Festival, the Silver Bear from the 2016 Berlin Film Festival, and the Golden Lion 
from the 73rd Venice International Film Festival.
Veteran thespian Jaclyn Jose became the first Filipina to bag the Best Actress 
award at the Cannes Film Festival for her stirring portrayal in "Ma' Rosa," while


accomplished actor John Arcilla won the Volpi Cup for Best Actor at the 78th Venice 
Film Festival for his outstanding performance in "On The Job: The Missing 8." These 
achievements exemplify the remarkable artistic talent and skill of Filipinos, on par 
with the world's best, which deserve to be encouraged and commended.
In the recent years, several other members of the Filipino movie industry 
bagged prestigious awards from various international bodies. The movie, "Iti 
Mapukpukaw (The Missing)" directed by Carl Joseph Papa was hailed as the Best 
Animated Film in the 17th edition of the Asia Pacific Screen Awards in Australia. 
Multi-awarded actress Judy Ann Santos-Agoncillo won as Best Actress in the 45th 
Fantasporto Film Festival in Porto, Portugal for the movie "Espantaho".
This bill seeks to promote and support the production of Filipino films that are 
world-class and globally competitive through the provision of incentives and tax 
exemptions. It also aims to foster excellence in the field of arts, specifically in film, 
and catalyze the advancement of Philippine cinema towards another golden age.
In view of the foregoing, the passage of this bill is earnestly sought.
NGODY EJERCITO ESTRADA


TWENTIETH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
25 JUL 10 P3 :13
SENATE
S. No.
386
RECEiVfOSY,
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
PROMOTING THE PRODUCTION OF OUTSTANDING AND WORLD-CLASS 
FILIPINO MOTION PICTURES, PROVIDING INCENTIVES TO FILMMAKERS 
AND ACTORS CLAIMING HONORS IN INTERNATIONAL FILM 
COMPETITIONS AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assem bled:
1 
Section 1. Short Title. - This Act shall be known as the "World-Class
2 
Filmmakers'Incentives Act".
3 
Sec. 2. Declaration of Policy. - The State recognizes the role and contribution
4 
of films as an effective medium in the formation and strengthening of the patriotic
5 
consciousness, nationalist spirit and social values among its citizens. It is hereby
6 
declared the policy of the State to promote and support the development, growth
7 
and enrichment of the local film industry, which includes both mainstream and
8 
independent films, produced by Filipino filmmakers or production entities that freely
9 
interpret and examine the Filipino experience with excellent production quality,
10 
unique voice and artistic integrity.
11 
Towards this end, the State shall grant incentives to filmmakers or production
12 
entities which produced high-quality film projects, received critical acclaim and
13 
recognition from prestigious international film festivals, and brought honor and pride
14 
to the country.
15 
Sec. 3. Incentives for Filipino Filmmakers. - The production of outstanding
16 
and world-class Filipino films is hereby declared a policy of the State. For this


1 
purpose, award-winning Filipino films in respected international film competitions
2 
and cinema festivals are hereby accorded the following incentives:
3 
a) A grant of Five million pesos (P5,000,000.00) to the film production or
4 
entity that produces the award-winning full-length feature or
5 
documentary film. A grant of Two million pesos (P2,000,000.00) shall be
6 
awarded to winners of technical excellence which may include
7 
recognitions in direction, screenplay, cinematography, editing, production
8 
design, music scoring, sound, and other aspects of filmmaking;
9 
b) Full tax exemptions relevant to the screening of the film and its
10 
commercial exhibition, including those levied by local government 
units
11 
(LCDs);
12 
c) The award winning film shall be considered and shall have the honor of
13 
being given an automatic rating of an "A" film 
being 
granted by the
14 
Cinema Evaluation Board;
15 
Sec. 4. Eligibilities for Incentives. - To be eligible to receive incentives
16 
provided under this Act, the award-winning film must be made or produced by a
17 
Filipino filmmaker or production entity, as the case may be.
18 
The total production budget for each of the full-length feature or
19 
documentary film must not exceed Ten million pesos (P10,000,000.00), while the
20 
total production budget for the short feature or documentary film must not exceed
21 
Five million pesos (P5,000,000.00).
22 
Sec. 5. Incentives for Filipino Actors and Actresses. - Filipino actor or actress,
23 
either in leading or supporting role, who wins an international award in prestigious
24 
international film festivals shall be provided the following prizes and recognitions:
25 
a) A grant of Two Million pesos (P2,000,000.00);
26 
b) Exemption in the payment of income tax, including value added tax (VAT)
27 
for services rendered, for the particular year the actor wins the award.
28 
Sec. 6. Preservation in the Philippine Film Archive. -The award-winning films,
29 
whether full-length feature, documentary or short film, will automatically be part of
30 
the Philippine Film Archive for preservation.


1 
The ownership, copyright, distribution, exhibition and use rights of the award-
2 
winning filnns which are recipients of incentives under this Act shall be vested in and
3 
remain with the producer, writer, artist or other originator of the work.
4 
Sec. 7. List of International Film Festivals. -The Film Development Council of
5 
the Philippines (FDCP), after consultation with the National Commission for Culture
6 
and the Arts (NCCA), film producers, industry stakeholders and guilds, shall create,
7 
update and publish the list of international competitions and film festivals that shall
8 
be considered for the implementation of this Act.
9 
Sec. 8. Appropriations. - A special fund amounting to Fifty million pesos
10 
(P50,000,000.00) which shall be sourced from the funds of the Philippine
11 
Amusement and Gaming Corporation (PAGCOR) is hereby created.
12 
Other sums as may be necessary to carry out the provisions of this Act shall
13 
be included in the General Appropriations Act.
14 
Sec. 9. Implementing Rules and Regulations. - The Film Development Council
15 
of the Philippines (FDCP), in consultation with the Film Academy of the Philippines
16 
and the National Commission for Culture and the Arts (NCCA), shall promulgate the
17 
implementing rules and regulations within ninety (90) days from the effectivity of
18 
this Act.
19 
Sec. 10. Separability Clause. - If any section or part of this Act is held
20 
unconstitutional or invalid, the other sections or provisions not otherwise affected
21 
shall remain in full force and effect.
22 
Sec. 11. Repealing Clause. - All laws, decrees, executive orders, rules and
23 
regulations, issuances or any part thereof inconsistent with the provisions of this Act
24 
are deemed repealed and modified accordingly.
25 
Sec. 12. Effectivity. - This Act shall take effect fifteen (15) days after its
26 
publication in at least two (2) national newspapers of general circulation, whichever
27 
comes earlier.
Approved,