Republic Act No.
7166 November 26, 1991 deductions from the gross income of the donor, in accordance with the
AN ACT PROVIDING FOR SYNCHRONIZED NATIONAL AND LOCAL ELECTIONS
AND FOR ELECTORAL REFORMS, AUTHORIZING APPROPRIATIONS THEREFOR,
AND FOR OTHER PURPOSES
Section 13. Authorized Expenses of Candidates and Political Parties. - The agreement
amount that a candidate or registered political party may spend for election
campaign shall be as follows:
(a) For candidates. - Ten pesos (P10.00) for President and Vice-President;
and for other candidates Three Pesos (P3.00) for every voter currently
registered in the constituency where he filed his certificate of candidacy:
Provided, That a candidate without any political party and without support
from any political party may be allowed to spend Five Pesos (P5.00) for
every such voter; and
(b) For political parties. - Five pesos (P5.00) for every voter currently
registered in the constituency or constituencies where it has official
candidates.
Any provision of law to the contrary notwithstanding any contribution in cash or in
kind to any candidate or political party or coalition of parties for campaign
purposes, duly reported to the Commission shall not be subject to the payment of
any gift tax.
Republic Act No. 9500 April 29, 2008
AN ACT TO STRENGTHEN THE UNIVERSITY OF THE PHILIPPINES AS THE
NATIONAL UNIVERSITY
SEC. 25. Tax Exemptions. - The provisions of any general or special law to the
contrary notwithstanding:
(a) All revenues and assets of the University of the Philippines used for
educational purposes or in support thereof shall be exempt from all taxes
and duties;
(b) Gifts and donations of real and personal properties of all kinds shall be
exempt from the donor's tax and the same shall be considered as allowable
provisions of the National Internal Revenue Code of 1997, as
amended: Provided, That the allowable deductions shall be equivalent to
150 percent of the value of such donation. Valuation of assistance other
than money shall be based on the acquisition cost of the property. Such
valuation shall take into consideration the depreciated value of property in
case said property has been used;
(c) Importation of economic, technical, vocational, scientific, philosophical,
historical and cultural books, supplies and materials duly certified by the
Board, including scientific and educational computer and software
equipment, shall be exempt from customs duties;
(d) The University shall only pay 0% value-added tax for all transactions
subject to this tax; and
(e) All academic awards shall be exempt from taxes.
Republic Act No. 9521 March 05, 2009
AN ACT CREATING A NATIONAL BOOK DEVELOPMENT TRUST FUND TO
SUPPORT FILIPINO AUTHORSHIP
Section 3. The National Book Development Trust Fund. - A National Book
Development Trust Fund, hereafter referred to as the Fund, is hereby established
exclusively for the support and promotion of Filipino authorship especially in
science and technology and in subject areas wherein locally authored books are
either few or nonexistent. The Fund shall be subject to the following;
(a) The contribution to the Fund shall be sourced from the following:
(1) The amount of Fifty million pesos (P50,000,000.00) shall be
alloted in the annual General Appropriation Act (GAA) for the next
five (5) years starting from the enactment of this law;
(2) The amount of Fifty million pesos (P50,000,000.00) shall be
taken from the Philippine Amusement and Gaming Corporation
(PAGCOR) fund at Five million pesos (P5,000,000.00) per month
for ten (10) months;
 (3) Another amount of Fifty million pesos (P50,000,000.00) shall
be taken from the Philippine Charity Sweepstakes Office (PCSO) at
Five million pesos (P5,000,000.00) per month for ten (10)
months;
(b) Only the interest drawn from the Fund from sources cited in Section 3
(a1), (a2) and (a3) shall be awarded as grants to promote Filipino
authorship and to support the completion of local manuscripts or research
works for publication;
(c) The grants can be awarded only after one (1) year from the
organization of the Fund, and the grants shall be awarded equitably among
the regions.
(d) Government corporations are hereby authorized to give grants to the
Fund at their discretion;
(e) The private portion of the Fund shall be raised from donations and
other conveyances including funds, materials, property and services, by
gratuitous title;
(f) Contributions to the Fund shall be exempt from the donor's tax and the
same shall be considered as allowable deductions from the gross income of
the donor, in accordance with the provisions of the National Internal
Revenue Code of 1997, as amended: Provided, That the allowable
deductions shall be equivalent to one hundred fifty percent (150%) of the
value of such donation;
(g) The National Book Development Board(NBDB) shall be the
administrator of the Fund;
(h) For the sound and judicious management of the Fund, the NBDB shall
appoint a government financial institution, with sound track record on
fund management, as portfolio manager of the Fund, subject to guidelines
promulgated by the NBDB; and
(i) The NBDB shall prepare the implementing guidelines and decision-
making mechanisms, subject to the following:
(1) No part of the seed capital of the Fun, including earnings
thereof, shall be used to underwrite overhead expenses for the
administration; and
(2) There shall be an external auditor to perform an annual audit
of the Fund's performance.
REPUBLIC ACT NO. 10165 June 11, 2012
AN ACT TO STRENGTHEN AND PROPAGATE FOSTER CARE AND TO PROVIDE
FUNDS THEREFOR
Section 3. Definition of Terms. – For purposes of this Act, the following terms are
defined:
(a) Agency refers to any child-caring or child-placing institution licensed
and accredited by the Department of Social Welfare and Development
(DSWD) to implement the foster care program.
(b) Child refers to a person below eighteen (18) years of age, or one who is
over eighteen (18) but is unable to fully take care of or protect oneself from
abuse, neglect, cruelty, exploitation or discrimination because of a physical
or mental disability or condition.
(c) Child Case Study Report refers to a written report prepared by a social
worker containing all the necessary information about a child.
(d) Child with Special Needs refers to a child with developmental or
physical disability.
(e) Family refers to the parents or brothers and sisters, whether of the full
or half-blood, of the child.
(f) Foster Care refers to the provision of planned temporary substitute
parental care to a child by a foster parent.
(g) Foster Child refers to a child placed under foster care.
(h) Foster Family Care License refers to the document issued by the DSWD
authorizing the foster parent to provide foster care.
(i) Foster Parent refers to a person, duly licensed by the DSWD, to provide
foster care.
 (j) Foster Placement Authority (FPA) refers to the document issued by the
DSWD authorizing the placement of a particular child with the foster
parent.
(k) Home Study Report refers to a written report prepared by a social
worker containing the necessary information on a prospective parent or
family member.
(l) Matching refers to the judicious pairing of a child with foster parent and
family members based on the capacity and commitment of the foster
parent to meet the individual needs of the particular child and the capacity
of the child to benefit from the placement.
(m) Parent refers to the biological or adoptive parent or legal guardian of a
child.
(n) Placement refers to the physical transfer of the child with the foster
parent.
(o) Relatives refer to the relatives of a child, other than family members,
within the fourth degree of consanguinity or affinity.
(p) Social Worker refers to the registered and licensed social worker of the
DSWD, local government unit (LGU) or agency.
ARTICLE II
ELIGIBILITY
Section 4. Who May Be Placed Under Foster Care. – The following may be placed in
foster care:
(a) A child who is abandoned, surrendered, neglected, dependent or
orphaned;
(b) A child who is a victim of sexual, physical, or any other form of abuse or
exploitation;
(c) A child with special needs;
(d) A child whose family members are temporarily or permanently unable
or unwilling to provide the child with adequate care;
(e) A child awaiting adoptive placement and who would have to be
prepared for family life;
(f) A child who needs long-term care and close family ties but who cannot
be placed for domestic adoption;
(g) A child whose adoption has been disrupted;
(h) A child who is under socially difficult circumstances such as, but not
limited to, a street child, a child in armed conflict or a victim of child labor
or trafficking;
(i) A child who committed a minor offense but is released on recognizance,
or who is in custody supervision or whose case is dismissed; and
(j) A child who is in need of special protection as assessed by a social
worker, an agency or the DSWD.
Provided, That in the case of (b), (c), (f), (h), (i), and (j), the child must have no
family willing and capable of caring and providing for him.
Section 5. Who May Be a Foster Parent. – An applicant who meets all of the following
qualifications may be a foster parent:
(a) Must be of legal age;
(b) Must be at least sixteen (16) years older than the child unless the foster
parent is a relative;
(c) Must have a genuine interest, capacity and commitment in parenting
and is able to provide a familial atmosphere for the child;
(d) Must have a healthy and harmonious relationship with each family
member living with him or her;
(e) Must be of good moral character;
(f) Must be physically and mentally capable and emotionally mature;
(g) Must have sufficient resources to be able to provide for the family’s
needs;
 (h) Must be willing to further hone or be trained on knowledge, attitudes
and skills in caring for a child; and
(i) Must not already have the maximum number of children under his
foster care at the time of application or award, as may be provided in the
implementing rules and regulations (IRR) of this Act.
Provided, That in determining who is the best suited foster parent, the relatives of
the child shall be given priority, so long as they meet the above qualifications:
Provided, further, That an alien possessing the above qualifications and who has
resided in the Philippines for at least twelve (12) continuous months and maintains
such residence until the termination of placement by the DSWD or expiration of the
foster family license, may qualify as a foster parent.
Section 22. Assistance and Incentives to Foster Parent. –
(a) Support Care Services. – The DSWD, the social service units of LGUs and
agencies shall provide support care services to include, but not limited to,
counseling, visits, training on child care and development, respite care,
skills training and livelihood assistance.
(b) Additional Exemption for Dependents. – For purposes of claiming the
Twenty-five thousand pesos (PhP 25,000.00) additional exemption for
foster parents for each dependent not exceeding four (4) as provided for by
Republic Act No. 9504, the definition of the term "dependent" under
Section 35(B) of the National Internal Revenue Code (NIRC) of 1997 shall
be amended to include "foster child": Provided, That all other conditions
provided for under the aforesaid section of the NIRC of 1997 must be
complied with: Provided, further. That this additional exemption shall be
allowed only if the period of foster care is at least a continuous period of
one (1) taxable year.
For purposes of this section, only one (1) foster parent can treat the foster child as a
dependent for a particular taxable year. As such, no other parent or foster parent
can claim the said child as a dependent for that period.
Section 23. Incentives to Agencies. – Agencies shall be entitled to the following tax
incentives:
(a) Exemption from Income Tax. – Agencies shall be exempt from income
tax on the income derived by it as such organization pursuant to Section 30
of the NIRC of 1997, as implemented by Revenue Regulation (RR) No. 13-
98; and
(b) Qualification as a Donee Institution. – Agencies can also apply for
qualification as a donee institution.
Section 24. Incentives to Donors. – Donors of an agency shall be entitled to the
following:
(a) Allowable Deductions. – Donors shall be granted allowable deductions
from its gross income to the extent of the amount donated to agencies in
accordance with Section 34(H) of the NIRC of 1997; and
(b) Exemption from Donor’s Tax. – Donors shall be exempted from donor’s
tax under Section 101 of the NIRC of 1997: Provided, That not more than
thirty percent (30%) of the amount of donations shall be spent for
administrative expenses.
REVENUE REGULATIONS NO. 02-40
February 10, 1940
INCOME TAX REGULATIONS
SECTION 207. Estates and trusts. — "Fiduciary" is a term which applies to all
persons or corporations that occupy positions of peculiar confidence towards
others, such as trustees, executors, or administrators; and a fiduciary, for income tax
purposes, is any person or corporation that holds in trust an estate of another
person or persons. In order that a fiduciary relationship may exist, it is necessary
that a legal trust be created.
In general, the income of a trust for the taxable year which is to be distributed to the
beneficiaries must be returned by and will be taxed to the respective beneficiaries,
but the income of a trust which is to be accumulated or held for future distribution,
whether consisting of ordinary income or gain from the sale of assets included in the
corpus of the trust, must be returned by and will be taxed to the trustee. Three
exceptions to this general rule are found in the law: (1) in the case of revocable trust
(Section 59); (2) in the case of a trust the income of which, in whole or in part, may
be held or distributed for the benefit of the grantor (Section 60); and (3) in the case
of a trust administered in a foreign country [Section 57(c)]. In the first case, the
income from such part of the trust estate title to which may be revested in the
grantor should be included in the grantor's return. In the second case, part of the
income of the trust, which may be held or distributed for the benefit of the grantor,
should be included in the grantor's return. In the third case, the trustee is not
entitled to the deductions mentioned in subsections (a) and (b) of Section 57 and
the net income of the trust undiminished by any amounts distributed, paid or
credited to beneficiaries will be taxed to the trustees; however, the income included
in the return of the trustees is not to be included in computing the income of the
beneficiaries.
SECTION 208. Consolidation of incomes of two or more trusts. — Section 56(b)(2)
expressly requires the consolidation of the income of two or more trusts where the
creator of the trust in each instance is the same person and the beneficiary in each
instance is the same. The tax due on the consolidated income will be collected from
the trustees in proportion to the net income of the of the respective trusts. (See
Section 215 of these regulations.)
SECTION 209. Estates and trusts taxed to fiduciary. — In the case of a decedent's
estate the settlement of which is the object of testamentary or intestate proceedings,
the fiduciary, executor, or administrator is required to file an annual return for the
estate up to the final settlement thereof. In the same manner, the fiduciary is
required to file a yearly return covering the income of a trust, whether created by
will or deed, for accumulation of income, whether for unascertained persons or
persons with contingent interests or otherwise. In both cases the income of the
estate or trust is taxed to the fiduciary. Where under the terms of a will or deed, the
trustee, may in his discretion, distribute the income or accumulate it, the income is
taxed to the trustee, irrespective of the exercise of his discretion. The imposition of
the tax is not affected by the fact that an ultimate beneficiary may be a person
exempt from tax.
SECTION 210. Estate and trust taxed to beneficiaries. — In the case of (a) a trust the
income of which is to be distributed annually or regularly; (b) an estate of a
decedent the settlement of which is not the object of judicial testamentary or
intestate proceedings; and (c) properties held under a co-ownership or tenancy in
common, the income is taxable directly to the beneficiary or beneficiaries. Each
beneficiary must include in his return his distributive share of the net income of the
trust, estate, or co-ownership. In the case of trusts which are in whole or in part
subject to revocation by the grantor, or which are for the benefit of the grantor, the
income of the trust is to be included in computing the net income of the grantor.
SECTION 211. Decedent's estate administration. — The "period of administration or
settlement of the estate" is the period required by the executor or administrator to
perform the ordinary duties pertaining to administration, in particular, the
collection of assets and the payment of debts and legacies. Estates during the period
of administration have but one beneficiary and that beneficiary is the estate.
No taxable income is realized from the passage of property to the executor or
administrator on the death of the decedent, even though it may have appreciated in
value since the decedent acquired it. In the event of delivery of property in kind to a
legatee or distributee, no income is realized. Where, however, prior to the
settlement of the estate, the executor or administrator sells property of a decedent's
estate for more than the appraised value placed upon it at the death of the decedent,
the excess is income, taxable to the estate. Where property is sold after the
settlement of the estate by the devisee, legatee or heir at a price greater than the
appraised value placed upon it at the time he inherited the property from the
decedent, he is taxable individually on any profit derived. An allowance paid a
widow or heir out of the corpus of the estate is not deductible from gross income.
SECTION 212. Liability for tax on estate or trusts. — Liability for payment of the tax
attaches to the person of an executor or administrator up to and after his discharge,
where prior to distribution and discharge he had notice of his tax obligations or
failed to exercise due diligence in determining whether or not such obligations
existed. Liability for the tax also follows the estate itself, and when the estate has
been distributed, the heirs, devisees, legatees, and distributors may be required to
discharge the amount of the tax due and unpaid, to the extent of and in proportion
to any share received. The same consideration apply to other trusts. Where the tax
has been paid on the net income of an estate or trust by the fiduciary, the net income
on which the tax is paid is free from tax when distributed to the beneficiaries.
SECTION 213. Exemption allowed to estate or trusts. — An estate or a trust is
allowed a personal exemption of P1,800. Each beneficiary is entitled to but one
personal exemption, no matter from how many trusts he may receive income.
(Section 61 of the Code)