Philippine National Police Service Stores System (PNPSSS) (1)

December 8, 2011 FIRB RESOLUTION NO. 016-11 SUBJECT MATTER : Philippine National Police Service Stores System (PNPSSS) (1) WHEREAS, commissary services and Post Exchange (PX) facilities are intended to augment benefits ( e.g., salaries and allowances) of police personnel in recognition of their work in the area of peace and order; WHEREAS, such services and facilities are recognized as integral adjuncts of the police sector on a global basis; WHEREAS, to ensure that said commissary services and post exchange facilities would be able to achieve their objectives, the Philippine National Police Service Stores System (PNPSSS) has applied for tax subsidy in the amount of P58,699,323.34 to cover the taxes due on items it purchased and sold to its intended beneficiaries; WHEREAS, there is also a need to ensure that the benefits of these services and facilities are extended only to their intended beneficiaries; NOW, THEREFORE, BE IT RESOLVED, AS IT IS HEREBY RESOLVED, to grant tax subsidy to the PNPSSS in the amount of FIFTY EIGHT MILLION SIX HUNDRED NINETY NINE THOUSAND THREE HUNDRED TWENTY THREE AND 34/100 PESOS (P58,699,323.34) only, representing taxes on items purchased and subsequently sold by its outlets to their intended beneficiaries, for the year 2011, in accordance with the following breakdown: Particulars Amount in Pesos Ratio to Total (%) Value-Added Tax (VAT) 52,591,584.03 89.59 Merchandise 27,710,951.18 47.21 Office and School Supplies 53,910.27 0.09 Health and Beauty 357,194.13 0.61 Textile and PNP Accoutrements 1,167,217.16 1.99 Pharmaceutical 459,042.25 0.78 Petroleum 22,843,269.04 38.92 Excise Tax on Petroleum 6,107,739.31 10.41 Grand Total 58,699,323.34 100.00 =========== ===== Provided, however, that the PNPSSS shall: (1) submit to the FIRB the details of its system to ensure that commissary privileges are confined solely to their intended beneficiaries, including the following: (a) breakdown of customers by type/category; (b) quantity and purchase limits; and (c) identification requirements for customers; (2) submit to the FIRB the results of the annual audit of its operations by the Commission on Audit or a reliable independent auditor; and (3) cause to be marked on all items entitled to tax subsidy herein granted the words "Tax Subsidized by the Philippine Government, Not for Resale": Provided, further, that such availment shall be in accordance with the terms and conditions of Section 13 of the 2011 General Appropriations Act, subject to the availability of funds therefor, pursuant to the terms and conditions of the Rules and Regulations to Implement the Subsidy Provision Under Executive Order No. 93 and Bureau of Internal Revenue Regulations No. 12-2006. CHDTIS (SGD.) GIL S. BELTRAN Undersecretary of Finance Presiding Officer-FIRB