Question & AnswerQ&A (Republic Act No. 3485)
Republic Act No. 3485 authorizes the sale, transfer, and conveyance to the Ormoc Electric Company, Inc. of the franchise, and all properties and rights acquired thereunder, originally granted to the Ormoc Electric Company under Republic Act No. 769.
The original franchise was granted under Republic Act Numbered Seven hundred sixty-nine (RA No. 769).
The power to operate and maintain an electric light, heat and power system in the City of Ormoc.
The transferee shall pay a franchise tax equal to two percent (2%) of the gross earnings for electric current sold under the franchise.
The franchise tax must be paid into the National Treasury of the Philippines.
No. This Act provides that the franchise tax of 2% of the gross earnings shall be the only tax levied or collected by any authority (municipal, provincial, city, or national) on the transferee. No other tax on capital stock, franchise, rights, privileges, earnings, profits, or property shall be assessed.
Yes. Provisions of law to the contrary notwithstanding, this law states that the 2% franchise tax is the only tax levied or collected on the transferee.
The Act took effect upon its approval, which was on June 16, 1962.
Municipal, provincial, city, or national authorities are prohibited from levying or collecting other taxes on the transferee aside from the fixed franchise tax.
The Ormoc Electric Company, Inc. must pay a franchise tax equal to two percent of its gross earnings from electric current sold under the franchise.