Question & AnswerQ&A (BATAS PAMBANSA BLG. 36)
The primary objective of Batas Pambansa Blg. 36 is to conserve energy and promote the efficient utilization of electric power through the imposition of an energy tax on electric power consumption.
Every residential customer of electric power utilities is subject to the energy tax on their monthly electric power consumption.
The energy tax is computed based on a schedule: Consumers using not over 650 kWh are exempt; over 650 but not over 1,000 kWh are charged P0.10 per kWh in excess of 650; over 1,000 but not over 1,500 kWh pay P35 plus P0.20 per kWh in excess of 1,000; over 1,500 kWh pay P135 plus P0.35 per kWh in excess of 1,500.
Yes. In areas outside Metro Manila where electric power rates (excluding the energy tax) are equal to or higher than prevailing rates in Metro Manila including the energy tax, the energy tax does not apply. If rates outside Metro Manila excluding the energy tax are lower than Metro Manila's rates including the energy tax, the tax imposed equals the difference or the full amount of the energy tax, whichever is lower.
No, the tax paid under this Act shall not be allowed as a deduction for income tax purposes.
The owner, proprietor, operator, or any person in charge of the electric utility is responsible for withholding the tax from residential customers' monthly bills, filing returns, and remitting the collected tax to the Commissioner of Internal Revenue.
The tax return and remittance must be filed and made within twenty (20) calendar days after the end of each calendar month in which the tax is collected.
A penalty of 25% of the amount of tax due applies for failure to remit the tax within the prescribed period.
In cases of willful neglect to file the return or willfully making a false or fraudulent return, a surcharge of 50% of the tax amount or deficiency tax is added to the tax due.
The Ministry of Finance, in consultation with the heads of appropriate government agencies, shall promulgate the necessary rules and regulations for effective enforcement.
All laws, decrees, orders, and regulations or parts thereof inconsistent with this Act are repealed or modified accordingly.
This Act took effect immediately upon its approval on September 7, 1979.