APRIL 13, 2012 DATE

NR # 2708
REF. NO.

Committee on Ways and Means approves tax exemption of donations to proposed Peoples Survival Fund
The House Committee on Ways and Means has approved the tax exemption of the proposed Peoples Survival Fund to be created by amending Republic Act 9729 otherwise known as the Climate Change Act of 2009. The panel chaired by Rep. Isidro Ungab (3rd District, Davao City) in a recent hearing prior to the congressional break approved the bills tax provision seeking to exempt from the donors tax any donation or bequest made to the Peoples Survival Fund. Prior to its referral to the Committee on Ways and Means chaired by Rep. Isidro Ungab (3rd District, Davao City), the unnumbered substitute bill to HB 1711 authored by Deputy Speaker Ma. Isabelle Climaco (1st District, Zamboanga City), HB 3528 by Deputy Speaker Lorenzo Taada III (4th District, Quezon) and HB 3558 by Rep. Rufus Rodriguez (2nd District, Cagayan de Oro City) were approved by the Committee on Ecology chaired by Rep. Danilo Ramon Fernandez (1st District, Laguna). Section 14 of the substitute bill provides for the amendment of Section 18 of RA 9729 by inserting certain provisions on the creation of the Peoples Survival Fund which shall be established as a special trust fund for the financing or adaptation programs and projects based on the national strategic framework. The Peoples Survival Fund shall be used for activities that actually, directly and exclusively support priority adaptation projects and programs adopted pursuant to climate change action plans of local governments based on the substitute bill. The Committee on Ways and Means approved the tax provision in Section 18 (D) of the measure which provides that any donation or bequest made to the Peoples Survival Fund shall be exempt from donors tax and the same shall be considered as allowable deduction from the gross income of the donor, in accordance with the provisions of the National Internal Revenue Code of 1997, as amended. The substitute bill provides that the Peoples Survival Fund shall be obtained from both public and private sources, either foreign or local, including but not limited to the following: The initial amount of P50 million to be allotted in the annual General Appropriations Act (GAA), and thereafter, such sum as shall be deemed necessary to carry out the objectives of the fund;

APRIL 13, 2012 DATE

NR # 2708
REF. NO.

Five percent of emission reductions earned by industries that are domestically implementing the international carbon market instruments. Provided that this provision shall be considered as an automatic compliance with the required sustainable development undertaking; Ten percent of the annual special vehicle pollution control fund under RA 8794 otherwise known as An Act Imposing a Motor Vehicle Users Charge on Owners of All Types of Motor Vehicles and For Other Purposes; and

Donations, endowments, grants and contributions. (30) rbb