Guidelines on Transferability of Tax Credit Certificates

2006

AMENDMENT TO THE AMENDED MEMORANDUM OF AGREEMENT DATED FEBRUARY 14, 2006 DEFINING THE GUIDELINES ON TRANSFERABILITY OF TAX CREDIT CERTIFICATES ISSUED UNDER EXECUTIVE ORDER NO. 226, THE OMNIBUS INVESTMENT CODE

Pursuant to Section 9 of the Memorandum of Agreement (MOA) dated October 13, 2000 executed by and between the Board of Investments (BOI) and the Department of Finance (DOF) in compliance with the provision of Article 21 of Executive Order No. 226 (E.O. 226) regarding the transferability of tax credit certificates (TCCs) issued under the said E.O., the following additional guidelines are hereby adopted:

"1. Transfers by companies belonging to a distressed industry sector —

Transferors belonging to an industry sector which BOI has assessed to be in distress shall be allowed for transfer their outstanding TCCs to any BOI-registered transferees and government financial institutions without requiring them to comply with the conditions imposed under Section 1c, 1e and 1f of the prevailing MOA, provided that this type of transfer shall be allowed for one year only from official notification to the Center by BOI that the Industry sector is in distress, without prejudice to renewal thereof upon approval by the Executive Committee."

"2. Section 9 of the MOA is hereby amended to include the following paragraph:

"Henceforth, in order to simplify the administrative process in amending the existing MOA, and since BOI and DOF are well represented in the Center's Excom, any amendment to the prevailing MOA including exceptions to the guidelines for meritorious consideration shall now be done through a resolution duly approved by the Center's Executive Committee, which resolution shall be for implementation without the need for another MOA between BOI and DOF, subject to compliance with the provisions of EO 226 and with the required administrative procedures under the Administrative Code." ECSHAD

(SGD.) PETER B. FAVILASecretary

(SGD.) MARGARITO B. TEVESSecretary

Signed in the presence of:

(SGD.) ELMER C. HERNANDEZUndersecretary

(SGD.) GAUDENCIO A. MENDOZA, JR.Undersecretary

REPUBLIC OF THE PHILIPPINES } }S. S. }

SUBSCRIBED AND SWORN to before me this 9th day of March, 2006, in the City of Manila, affiants exhibited to me their Community Tax Certificate as follows:

NAMES	CTC Number	ISSUED AT	ISSUED ON
MARGARITO B. TEVES	14026438	Manila	8-02-05
PETER B. FAVILA	20564958	Makati	2-24-06

 

IN WITNESS THEREOF, I have hereunto set my hand and affixed my notarial seal on the day, year, and place above written.

 

(SGD.) ATTY. JOAQUIN M. CHUA

Doc. No. 188Page No. 39

Published in The Philippine Star on March 13, 2006.