Amending Rule III Sections 2, 3 And 4 of the Joint Administrative Order No. 1-2016 Implementing Republic Act (RA) No. 10708

April 4, 2018 JOINT ADMINISTRATIVE ORDER NO. 1-2018 AMENDING RULE III SECTIONS 2, 3 AND 4 OF THE JOINT ADMINISTRATIVE ORDER NO. 1-2016 IMPLEMENTING REPUBLIC ACT (RA) NO. 10708 Pursuant to Rule VIII of the Rules and Regulations to implement RA No. 10708, Rule III Sections 2, 3 and 4 of the aforementioned JAO are hereby amended to read as follows: RULE III INCENTIVES MONITORING MECHANISM xxx xxx xxx SECTION 2. Role of the Bureau of Internal Revenue. The BIR shall: a. On or before AUGUST 15 of every year, submit to the Department of Finance (DOF), notwithstanding any law to the contrary, the tax incentives of RBEs as reflected in their filed annual OR QUARTERLY tax returns : Provided, That, pursuant to Section 270 of the NIRC, as amended, such submission of BIR to the DOF shall not contain specific names of the RBEs or other identifiers. b. Within ninety (90) days after the lapse of the said period to assess provided under the NIRC, as amended, update the foregoing report with income-based tax incentives, deductions, credits or exclusions from the gross income, VAT AND OTHER TAX INCENTIVES as assessed under the NIRC, and submit the same to the DOF and NEDA Secretariat. SECTION 3. Role of the Bureau of Customs (BOC). The BOC shall, on or before AUGUST 15 of every year, submit to the DOF, notwithstanding any law to the contrary, the VAT and duty incentives availed by RBEs as reflected in their filed import entries. ACETIa SECTION 4. Role of the Department of Finance. For purposes of monitoring and transparency, the DOF shall have the following responsibilities: a. Maintain a single database for monitoring and analysis of tax incentives granted; b. ON OR BEFORE DECEMBER 15 OF EVERY YEAR, ESTIMATE THE AMOUNT OF TAX INCENTIVES AVAILED BY RBES; and c. On or before June 30 of the subsequent year, submit to the Department of Budget and Management (DBM) and the Joint Congressional Oversight Committee created under Section 9 of RA 10708, and upon request, to the NEDA Secretariat the aggregate data categorized by sector, by IPA and by type of tax: (1) the amount of tax incentives availed by RBEs; (2) the estimated claims of tax incentives immediately preceding the current year; (3) the programmed tax incentives for the current year; and (4) the projected tax incentives for the following year. xxx xxx xxx This Amendment shall take effect fifteen (15) days following its publication in a newspaper of general circulation and filing of three (3) copies hereof with the Office of the Office of the National Administrative Register (ONAR) University of the Philippines (UP) Law Center, Diliman, Quezon City pursuant to Presidential Memorandum Circular No. 11 dated 09 October 1992. APPROVED, this ___ April 2018. (SGD.) CALOS G. DOMINGUEZ Secretary Department of Finance (SGD.) RAMON M. LOPEZ Secretary Department of Trade and Industry