Republic of the Philippines
HOUSE OF REPRESENTATIVES RESEN ED aa
Quezon City DATE September 14, 2022¢7)
* TIME 5:19pm *
19 CONGRESS BY Beri dy
First Regular Session
Wg g
HOUSE BILL NO._4846 40 Inve’

Introduced by. REP. JUAN CARLOS “ARJO” ATAYDE

AN ACT
AMENDING SECTION 150-B (A)(1) OF REPUBLIC ACT NO. 8424, OTHERWISE KNOWN
AS THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED, AND FOR
OTHER PURPOSES

Recent Congressional investigations reveal that we are in a state of sugar
shortage in the Philippines. Notwithstanding the fact that we are an agricultural
country, we have and will continue to resort to importation to meet our demand for
both raw and refined sugar to the prejudice of our local farmers. In fact, our industrial
‘sugar users like beverage producers are being considered to allow direct importation
of sugar. They are said to benefit from half of the upcoming 150,000 metric tonnes of
sugar to be imported once approved by the acting Department of Agriculture Secretary
President Ferdinand R. Marcos, Jr.

With the end goal of empowering our local farmers, this measure seeks to
encourage patronage by industrial sugar users of our local fruit, vegetable, and herb
extracts through the grant of exemption from the taxes imposed upon sweetened
beverages mandated by Republic Act No. 8424, otherwise known as the “National
Internal Revenue Code of 1997."

This measure will encourage investments in alternative sweetened beverages
based on locally grown fruits such as calamansi, mango, guyabano, dalandan, etc.
With the foreseeable aggressive push of these beverages, micro and small enterprises
will have better chances for growth. The consequential increase in farm production,
‘employment, and eventually exports will improve our country's GDP.



Given the above-mentioned benefits, the immediate passage of this bill is
earnestly sought

REP. JUAN CARLOS “ARJO” ATAYDE


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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

19" CONGRESS
First Regular Session

HOUSE BILL NO. _ 4846

Introduced by. REP. JUAN CARLOS “ARJO” ATAYDE

AN ACT

AMENDING SECTION 150-B (A)(1) OF REPUBLIC ACT NO. 8424, OTHERWISE

KNOWN AS THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS
AMENDED AND FOR OTHER PURPOSES.

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

Congress assembled:

SECTION 1. Section 150-B paragraph (A) (1) of the National Internal Revenue

Code of 1997, as amended, is hereby amended to read as follows:

(A) Rate and Base of Tax.

(1) A tax of Six pesos (P6.00) per liter of volume capacity shall be levied,
assessed and collected on sweetened beverages using purely caloric
sweeteners, and purely non-caloric sweeteners, or a mix of caloric and non-
caloric sweeteners: Provided, further, That this tax rate shall not apply to
sweetened beverages using high fructose corn syrup: Provided, further, That
sweetened beverages using purely coconut sap sugar and purely steviol
glycosides shall be exempt from this tax: PROVIDED, FINALLY, THAT THIS.
TAX RATE SHALL NOT APPLY TO MANUFACTURERS OF SWEETENED
BEVERAGES WHO SOURCE ALL THEIR REQUIREMENTS FOR FRUIT,
VEGETABLE, AND/OR HERBS AS A NATURAL SOURCE OF FLAVOR AND
‘ADDED FUNCTIONALITY FROM LOCAL PRODUCERS OF SUGARCANE, PALM
‘SUGAR, AGAVE SUGAR, AND OTHER NATURAL SWEETENERS EXCEPT HIGH
FRUCTOSE CORN SYRUP ; and



XXX XXX

SEC. 2. - Any portion or provision of this Act that is declared unconstitutional
Shall not have the effect of nullifying other portions or provisions hereof as long as
Such remaining portions can stil subsist and be given effect in their entirety

SEC. 3. - All laws, ordinances, rules, regulations, other issuances or parts
thereof, which are inconsistent with this Act, are hereby repealed or
modified accordingly.

SEC. 4. This Act shall take effect after fifteen (15) days following its
Publication in the official Gazette or in a newspaper of general circulation.

Approved,