Amendments to R.A. No. 601 (Exchange Tax Law) ( Republic Act No. 1375 )

June 18, 1955

June 18, 1955



SECTION 1. Sections one and two of Republic Act Numbered Six hundred one, as amended by Republic Acts Numbered Eleven hundred seventy-five and Eleven hundred ninety-seven, are further amended to read as follows:

"SEC. 1. Except as herein otherwise provided, there shall be assessed, collected, and paid a special excise tax of seventeen per centum on the value in Philippine peso of foreign exchange sold and/or authorized to be sold by the Central Bank of the Philippines, or any of its agents until June thirtieth, nineteen hundred and fifty-six.

"SEC. 2. The tax provided for in section one of this Act shall not be collected on foreign exchange used for the payment of the cost, transportation and/or other charges incident to importation into the Philippines of canned milk, canned beef, cattle, canned fish, cocoa beans, malt, stabilizer and flavors, vitamin concentrate; supplies and equipment purchased directly by the Government or any of its instrumentalities for its own exclusive use; machinery, equipment, accessories, and spare parts, for the use of industries, miners, mining enterprises, planters and farmers; and fertilizers when imported by planters or farmers directly or through their cooperatives; articles or containers used, including materials for the manufacture of tin containers used by the importer himself in the manufacture or preparation of local products for consignment or export abroad; textbooks, reference books, and supplementary readers approved by the Board on Textbooks and/or established public or private educational institutions; paper imported by publishers for their exclusive use in the publication of books, pamphlets, magazines and newspapers; carbides, explosives and dynamite for mining purposes; drugs and medicines, and medical and hospital supplies listed in the appendix of this Act; payment in respect of reinsurance; payment in respect of marine and aviation insurance; spare parts to be used in the repair of vessels of Philippine registry or airplanes and such other parts thereof as may be certified by the Hulls and Boilers Division of the Bureau of Customs or the Civil Aeronautics Administration, respectively, as essential to the maintenance of vessels or airplanes; payment of purchase price of vessels or ships of any kind or nature intended for Philippine registry, ninety per cent of the ownership of which belongs exclusively to Filipinos, or charter fees of airplanes and vessels of Philippine register; remittances by airlines of American registry operating between the Philippines and the United States of income in the Philippines to their head offices in the United States: Provided, That such airlines have been granted a permit to operate under the Air Transport Agreement between the United States and the Philippines prior to the enactment of Republic Act Numbered Six hundred one; remittances for payment of principal and interests of foreign loan contracted under obligation of the Philippine Government or any of its instrumentalities; remittances for payment of living expenses of students pursuing courses of studies abroad not exceeding the equivalent of two hundred and fifty dollars per month including payment of tuition, books, medical expenses and other school fees; and dollar allocations for one trip a year and not exceeding three hundred dollars for each Filipino pilgrim of any religion travelling abroad under permit of the Government; payment of premiums by veterans on life insurance policies under the Government of the United States; and payment of premiums and other amounts due by policy-holders on life insurance policies issued before December nine, nineteen hundred and forty-nine, and payment of machinery and/or raw materials to be used by new and necessary industries as determined in accordance with Republic Act Numbered Thirty-five as amended by Republic Act Numbered Nine hundred and one." casia

SECTION 2. This Act shall take effect on July 1, 1955.

Approved: June 18, 1955

Published in the Official Gazette, Vol. 51, No. 9, p. 4446 in September 1955



1. Adrenalin (Epinephrine) Chloride (not preparations)

2. Aluminum Hydroxide

3. Amebacides except emetine preparations

4. Amino Acid preparations, solutions, parenteral

5. Antihelmintic preparations except calomel and santonin

6. Antihypertension preparations

7. Anti-Leprosy preparations

8. Antimalarias except quinine preparations

9. Antisyphilitic preparations

10. Antitetanic serum

11. Aureomycin preparations

12. Blood Testing serums and solutions

13. Cardiac stimulants except aminophylline preparations and digitalis preparations

14. Castor Oil

15. Chenopodium Oil

16. Chloromycetin preparations

17. Coagulants

18. Cortisone Acetate preparations

19. Diagnostic Reagents (not chemical reagents) for chemical analysis

20. Digitalis

21. Diphtheria Antitoxin and other immunological preparations

22. Diphtheria Toxoid

23. Discoids of Hydrocyanic Acid (HCN) for fumigation work

24. Drugs (crude or otherwise), chemicals (simple or compound) for pharmaceutical manufacture

25. Drugs and medicines for the use of the dental and veterinary professions

26. Ergot

27. Gas Gangrene Antitoxin

28. Gland products and synthetic substitutes

29. Heparin derivatives

30. Hormone preparations

31. Hydrogen Peroxide preparations

32. HTH — Commercial (not solution)

33. Insulin preparations, all forms

34. Laboratory Stains

35. Cresol, Creolin or Animal Dip

36. Liver Extract

37. Magnesium Hydroxide

38. Magnesium Trisilicate

39. Mercurial Diuretics

40. Mercurochrome crystals

41. Merthiolate preparations

42. Neomycin and preparations

43. Novocain and other anaesthetics for general, spinal, intravenous, local or dental use.

44. Opium, its alkaloids and their salts, and synthetic substitutes

45. Pancreatic extracts

46. Plasma

47. Pregnenolon Acetate

48. Protein Solutions, powders and compounds

49. Quarternary Ammonium compounds

50. Saccharine

51. Salt Substitutes

52. Similac, Klim, Lactogen and other dehydrated powdered milk

53. Sera and vaccines

54. Terramycin and preparations

55. Tuberculin Tablets PPD, 1st and 2nd Tests

56. Anti-biotics powder (bulk) for pharmaceutical preparations

57. Tetracyn and preparations

58. Achromycin and preparations


1. Applicators, wood

2. Bandage, gauze

3. Bandage, specialists, Plaster of Paris

4. Cotton, Absorbent

5. Dental instruments and supplies

6. Diagnostic instruments

7. Droppers, medicine

8. Electro Medical Equipment

9. Gauze, plain

10. Gauze, sponges

11. Major Operating table (not examining table)

12. Needles, hypo, all sizes

13. Operating lights

14. Optometric instruments and supplies

15. Plasters, adhesive, all sizes

16. Sterilizers, autoclaves

17. Surgical instruments

18. Sutures, all kinds and sizes

19. Syringes, hypo, all sizes

20. X-Ray films

21. X-Ray equipment and supplies

22. Radium for therapy

23. Not more than two new well-tested drugs authorized by the Secretary of Health upon the recommendation of the Philippine Medical Association and the Medical Association of Private Practitioners.