Question & AnswerQ&A (Republic Act No. 9399)
The primary purpose of Republic Act No. 9399 is to declare a one-time amnesty on certain tax and duty liabilities, including fees, fines, penalties, interests, and other additions, incurred by certain business enterprises operating within specified special economic zones and freeports in the Philippines.
Business enterprises registered and operating within special economic zones and freeports created under Section 15 of Republic Act No. 7227, as amended, such as Clark Special Economic Zone, Poro Point Special Economic and Freeport Zone, John Hay Special Economic Zone, and Morong Special Economic Zone, prior to the effectivity of this Act are covered.
The tax amnesty includes all applicable tax and duty liabilities, inclusive of fines, penalties, interests, and other additions incurred due to the rulings of the Supreme Court in specific cases cited, as well as those that might have accrued to the enterprises.
Enterprises must pay an amnesty tax of Twenty-five Thousand pesos (P25,000.00) within six months from the effectivity of the Act to avail of the benefits.
The amnesty covers the difference between all national and local tax impositions under relevant tax laws and the five percent (5%) tax on gross income earned by the registered business enterprises during the period covered.
No, taxes and duties on articles, raw materials, capital goods, equipment, and consumer items removed from the special economic zones and entered into the customs territory for local or domestic sale are not covered and remain subject to usual taxes and duties under existing laws.
Those who avail themselves and fully comply with the tax amnesty shall be relieved of any civil, criminal, and/or administrative liabilities arising from or related to the nonpayment of taxes, duties, and other charges covered by the amnesty.
The Department of Finance, in coordination with the Bureau of Internal Revenue and the Bureau of Customs, and in consultation with relevant authorities such as the Bases Conversion and Development Authority and management corporations of the special economic zones, shall promulgate and publish the necessary rules and regulations.
The implementing rules and regulations must be promulgated and published within two months from the date of effectivity of the Act.
The Act took effect fifteen (15) days after its publication in the Official Gazette or in any two newspapers of general circulation, whichever came earlier.