QuestionsQuestions (PROCLAMATION NO. 867)
PD No. 707 amends Republic Act No. 2338 by limiting the reward to qualified informers for violations of internal revenue and customs laws to a specified percentage of realized collections.
PD No. 707 amends Republic Act (R.A.) No. 2338, titled “An Act to Provide for Reward to Informers of Violations of the Internal Revenue and Customs Laws.”
It limits the reward authorized to be paid to qualified informers to an amount equivalent to five percent (5%) of realized revenues, surcharges, compromises, and penalties collected and accounted for as a result of the information furnished.
Five percent (5%).
They are the amounts actually collected and accounted for by the government, including (1) realized revenues, (2) surcharges, (3) amounts from compromises, and (4) penalties, that are connected to the enforcement actions resulting from the informer’s information.
The collections (revenues, surcharges, compromises, and penalties) must be collected and accounted for as a result of the information furnished.
It refers to those informers who meet the qualifications contemplated by R.A. 2338 and related implementing rules for eligibility to receive the reward.
Even if R.A. 2338 previously allowed a different or broader reward scheme, PD No. 707’s limitation to 5% of realized collections prevails, as stated in the opening clause: “to the contrary notwithstanding.”
It means PD No. 707 controls and overrides any contrary provisions in Section 1 of R.A. 2338 regarding the reward amount.
Section 2 states that laws, acts, decrees, orders, and regulations inconsistent with PD No. 707 are considered repealed and/or modified accordingly.
It takes effect upon its approval.
It was issued by President Ferdinand E. Marcos, exercising powers vested by the Constitution.
No. PD No. 707 requires that the realized collections be collected and accounted for as a result of the information furnished.
It clarifies that informer rewards may be computed not only from fully adjudicated or assessed amounts collected, but also from amounts arising from compromise agreements, provided they are realized and linked to the informer’s information.
“Realized” generally means amounts actually collected and accounted for by the government, not merely assessed or attempted.
Violations of the internal revenue and customs laws.