Guidelines for the Direct Release of Funds by the Bureau of the Treasury to LGUs in FY 2016 and Thereafter

December 6, 1972 REVENUE REGULATIONS NO. 13-72 SUBJECT : Amending Revenue Regulations No. 7-72, as last amended by Revenue Regulations No. 7A-72 implementing Presidential Decrees Nos. 16 and 16-A TO : All Internal Revenue Officers and Others Concerned Section 4 of Revenue Regulations No. 7-72, as last amended by Revenue Regulations No. 7A-72, is hereby further amended to read as follows: "SEC. 4. Conditions and requisites for exemption . In order to avail of the benefits of exemption on the gains realized that corresponds to the proceeds of the sale disposition, transfer or exchange of capital assets, the following conditions must be met: A. The proceeds of the transaction must be invested, in shares of stocks in any of the preferred areas of productive undertaking, to wit: 1. BOI registered enterprises; 2. NACIDA promoted industries; 3. BTTI sponsored tourist oriented projects; 4. Export oriented industries; 5. Banks: Rural, Private Development, Commercial 6. Utilities: transport, communication, power; 7. Agricultural cooperatives; 8. Livestock and other agricultural development projects; 9. Foreign equity in domestic/resident corporations; 10. Insurance companies; or utilized in the purchase of new issues of the following instruments: 1. Government bonds; 2. Government securities other than treasury bills; 3. Government debentures; 4. Treasury notes. B. Such investments must be made within six (6) months from the date the gain is realized. The shares of capital stocks or government issues representing the investment are not to be disposed of, transferred, assigned or conveyed within a period of three (3) years from the date of said investment." These regulations shall take effect immediately. cdt CESAR VIRATA Secretary of Finance Recommended by: MISAEL P. VERA Commissioner of Internal Revenue ANNEX 1st Indorsement December 20, 1972 Respectfully returned to the Commissioner of Internal Revenue, Manila, for immediate dissemination to all concerned, the within duly approved Revenue Regulations Nos. 14-72 and 16-72, both dated December 8, 1972, bearing the subjects, "Presidential Decree No. 68, dated November 24, 1972, Proclaiming the Condonation of Delinquent Tax Accounts and Tax Amnesty on Contested Assessments Subject to Certain Conditions" and "Special Metropolitan Flood Tax", respectively. PEDRO M. ALMANZOR Undersecretary