Question & AnswerQ&A (EXECUTIVE ORDER NO. 581)
The title of Executive Order No. 581 is 'RE-IMPOSING THE EXPORT TAX AND PREMIUM DUTY.'
The products subject to the export tax and premium duty are gold, silver, copper ore/concentrates, refractory chrome, lumber, and veneer.
The export duty rate imposed on gold, silver, copper ore/concentrates, refractory chrome, lumber, and veneer is 4%.
The premium duty is an additional levy based on the difference between the current price established by the Bureau of Customs and the base price. It is applied on certain export products when the current price exceeds the base price.
Initially, the base price is 90% of the average F.O.B. value of the exports established by the Bureau of Customs for December 1979.
The National Economic and Development Authority (NEDA) is responsible for reviewing and establishing base prices.
If the current price is below the base price, only the basic export duty rate shall be applied, and no premium duty will be levied.
Gold sold to the Central Bank shall be considered an export and is thus subject to the export and premium duties.
The Central Bank and the Bureau of Customs are directed to implement this provision.
The policy was to induce the processing of traditional export products and encourage the export of manufactured and semi-manufactured goods.
No specific percentage for premium duties on lumber and veneer is provided; it is indicated as 'a' in the schedule, meaning it might be determined later or contextually.
Executive Order No. 581 took effect immediately upon its issuance on March 11, 1980.