Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations
Letter of Instructions No. 1466, issued on June 4, 1985, exempts the Philippine Amusement and Gaming Corporation (PAGCOR) from paying a 5% ad valorem duty on imports, as mandated by Executive Order No. 988. While all importations into the Philippines are generally subject to this additional duty, PAGCOR, due to its significant contributions to government revenue, is not required to comply with this tax. Instead, PAGCOR is obliged to pay a franchise tax of 5% on its gross earnings, with specific allocations for government projects based on revenue thresholds. This directive is effective immediately.
Quick Answers
- What is Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations about?
- Letter of Instructions No. 1466, issued on June 4, 1985, exempts the Philippine Amusement and Gaming Corporation (PAGCOR) from paying a 5% ad valorem duty on imports, as mandated by Executive Order No. 988. While all importations into the Philippines are generally subject to this additional duty, PAGCOR, due to its significant contributions to government revenue, is not required to comply with this tax. Instead, PAGCOR is obliged to pay a franchise tax of 5% on its gross earnings, with specific allocations for government projects based on revenue thresholds. This directive is effective immediately.
- What type of law is Letter of Instructions No. 1466?
- Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations (Letter of Instructions No. 1466) is a Philippine Presidential Issuances enacted by the Congress of the Philippines.
- When was Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations enacted?
- Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations (Letter of Instructions No. 1466) was enacted on Jun 4, 1985.
- What is the citation for Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations?
- Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations, Letter of Instructions No. 1466, Jun 4, 1985 (Philippines)
Law Information
- Reference Number
- Letter of Instructions No. 1466
- Date Enacted
- Category
- Presidential Issuances
- Subcategory
- Letters of Instructions
- Jurisdiction
- Philippines
- Enacting Body
- Congress of the Philippines
Full Law Text
June 4, 1985
LETTER OF INSTRUCTIONS NO. 1466
| TO | : | Minister of Finance |
| Acting Commissioner of Customs | ||
| Acting Commissioner of Internal Revenue | ||
| All Concerned |
WHEREAS, under Executive Order No. 988, there shall be levied, collected and paid, in addition to any other duties, taxes and charges imposed by law, on all importations into the Philippines an additional duty of 5% ad valorem;
WHEREAS, the aforesaid ad valorem duty shall also be levied, collected and paid even if the importation is exempt under existing laws;
WHEREAS, under the existing and exclusive franchise, PAGCOR is exempt from the payment of all kinds of customs duties, taxes and other imposts, whether national or local, but in lieu thereof, PAGCOR is required to pay a franchise tax equivalent to 5% of its gross earnings to the national government; thereafter, 50% of the share of the government in the gross earnings is mandated under Section 12 of P.D. 1869 to be allocated in the funding of specific governmental projects: Provided, That if the gross earnings is less than P150M, the allocation shall be increased to 60%; cdt
WHEREAS, considering the substantial contribution of PAGCOR to the revenue of the government, the exemption of PAGCOR from the coverage of Executive Order No. 955, as amended by Executive Order No. 988, could not be considered prejudicial to the revenue generation effort of the government.
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me, do hereby order and direct that;
SECTION 1. The Philippine Amusement and Gaming Corporation (PAGCOR) created under P.D. 1869, shall be exempt from the payment of the 5% ad valorem duty on importations prescribed under Executive Order No. 955, as amended by Executive Order No. 988;
SECTION 2. This Letter of Instructions shall take effect immediately.
DONE in the City of Manila, this 4th day of June, in the year of Our Lord, Nineteen Hundred and Eighty-Five.
Cite This Law
Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations, Letter of Instructions No. 1466, Jun 4, 1985 (Philippines)
Exemption of PAGCOR from Payment of the 5% Ad Valorem Duty on Importations, Letter of Instructions No. 1466 (Phil. 1985)
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- Amendments to E.O. No. 918 (s. 1983) Re: Imposition of Additional Import DutyExecutive Order No. 946 • Mar 29, 1984 • Presidential Issuances
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- Imposition of Ad Valorem Tax on CigarettesExecutive Order No. 960 • Jun 11, 1984 • Presidential Issuances
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