108 OG No. 20, 2287 (May 14, 2012)
WHEREAS, the VAT TCC monetization program is a mechanism to give qualified VAT-registered persons the cash equivalent of their outstanding VAT TCCs; and
WHEREAS, the implementation of the program promotes conducive business environment and raises the business credibility of the government both locally and globally.
NOW, THEREFORE, I, BENIGNO S. AQUINO III, President of the Philippines , by virtue of the powers vested in me by law, do hereby order:
SECTION 1. VAT TCC Monetization Program. A monetization program is hereby adopted in order to give qualified VAT-registered taxpayers the cash equivalent of their outstanding TCCs under the following options:
SECTION 3. Period of Implementation. The VAT TCC monetization program will be spread over a five-year period from 2012 to 2016. The funding requirement for this purpose shall be included in the National Expenditure Program (NEP) for the said years.
SECTION 4. Duties and Responsibilities. The following departments and offices shall have the following duties and responsibilities:
i. Provide the confirmation letter of the national government to acknowledge that the outstanding VAT TCCs constitute an obligation of the Republic of the Philippines ;
ii. Favorably endorse to the national government agency concerned or to the Bangko Sentral ng Pilipinas (BSP), as the case may be, the application to secure the necessary financial features required in the issuance of investment certificates to improve the net proceeds of the beneficiaries;
iii. Make arrangements with trustee bank on the requirements for the opening of a special account; and
iv. Make available the facilities of the Bureau of Treasury (BTr), including, but not limited to, Registry of Scripless Securities, the Automated Debt Auction Processing System, and such other facilities as may be required for the auctioning process in the implementation of the VAT TCC monetization program.
SECTION 6. Non-issuance of VAT TCCs by BIR and BOC. Beginning 2012, the BIR and the BOC shall no longer issue TCCs for VAT refund, unless applied for by the VAT taxpayer, pursuant to Section 112 (A) of RA 8424, as amended, and Section 106 (e) of the TCCP, as amended.
SECTION 7. Repealing Clause. All issuances, orders, rules and regulations, or parts thereof, which are inconsistent with this Executive Order are hereby repealed, amended or modified accordingly.
SECTION 8. Separability Clause. If any provision of this Executive Order is declared invalid or unconstitutional, the other provisions not affected thereby shall remain valid and subsisting.
SECTION 9. Effectivity Clause. This Executive Order shall take effect immediately upon publication in a newspaper of general publication.
DONE, in the City of Manila , this 27th day March, in the year of Our Lord, Two Thousand and Twelve.
| (Sgd.) BENIGNO S. AQUINO III | |
| President of the Philippines | |
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By the President: | | |
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(Sgd.) PAQUITO N. OCHOA, JR. | ||
Executive Secretary |