Question & AnswerQ&A (Republic Act No. 1916)
Republic Act No. 1916 exempts from the payment of all taxes and duties all donations in any form and importations of articles which are donations to international civic organizations, religious or charitable institutions.
The exemption applies to donations and importations for duly incorporated or established international civic organizations, religious or charitable societies, or institutions with civic, religious or charitable purposes.
Proof satisfactory to the Commissioner of Customs and/or Collector of Internal Revenue must be presented to show that the donations and articles imported are for use or free distribution and not for barter, sale, or hire.
Yes. If such articles are subsequently conveyed or transferred to other parties for a consideration, taxes and duties shall be collected at double the rate provided under existing laws, payable by the transferor.
The Department of Finance is tasked with promulgating rules and regulations for the implementation of Republic Act No. 1916.
Yes, all donations in any form and articles imported as donations to the specified organizations for civic, religious or charitable purposes are covered.
The Act took effect upon its approval on June 22, 1957.
This phrase generally includes all kinds of donations regardless of their nature, whether monetary or goods, intended for the covered organizations for their use or free distribution.
If the articles are transferred for a consideration, double taxes and duties as per existing laws will be imposed on the transferor.
The Commissioner of Customs and the Collector of Internal Revenue are responsible for verifying and approving the exemptions.