A
collection of Philippine laws, statutes and codes
not
included or cited in the main
indices
of
the
Chan Robles Virtual Law Library
PRESIDENTIAL DECREE NO. 144
PRESIDENTIAL DECREE NO. 144 -
REVISING THE PRESENT SYSTEM OF NATIONAL INTERNAL REVENUE ALLOTMENTS TO
LOCAL GOVERNMENTS
|
chanroblesvirtualawlibrary
WHEREAS,
under the National Internal Revenue Code and other existing laws,
internal revenue allotments are apportioned among the local governments
on the basis of various formula for distribution; chanroblesvirtualawlibrary
WHEREAS, the present system of internal revenue allotments has resulted
in a lopsided distribution of funds among the local government units
such that a few provinces and cities receive greater shares while the
majority receive less;chanroblesvirtualawlibrary
WHEREAS, for purposes of administrative simplicity and efficiency and
in order to establish a more equitable system of distribution of
allotments and introduce the developmental concept in the allocation of
funds to local governments, it has been imperative and compelling to
revise the present internal revenue allotment system;chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution as
Commander-in-Chief of all the Armed Forces of the Philippines, and
pursuant to Proclamation No. 1081, dated September 21, 1972, and
General Order No. 1, dated September 22, 1972, as amended, in order to
transform the tax system into an effective tool for the implementation
of the desired changes such as income redistribution and reforms in our
new society, do hereby order and decree that the present system of
national internal revenue allotments to local governments be revised as
herein provided: chanroblesvirtualawlibrary
1. Twenty per centum of the collections from national
internal revenue taxes not otherwise accruing to special funds and
special accounts in the general fund shall accrue to local governments
to be computed on the basis of the collections of the third fiscal year
preceding the current fiscal year.
2. This allotment shall be distributed as follows:
Thirty per centum (30%) to provinces
Forty-five per centum (45%) to municipalities
Twenty-five per centum (25%) to cities
3. The share of each local government unit shall be
determined on the basis of the following formula:
Seventy per centum (70%) — Population
Twenty per centum (20%) — Land Area
Ten per centum (10%) — Equal Sharing
4. For the first three fiscal years of implementation
of this Decree (FY's 1974, 1975 and 1976) the annual allotment of any
local government shall not increase by more than fifteen per centum
(15%) nor decrease by more than fifty per centum (50%) of its actual
allotment during the fiscal year 1970-71.
Thereafter, the shares of each local government shall be determined
solely on the basis of Section 1, 2 and 3 hereof. chanroblesvirtualawlibrary
5. There is hereby created a barrio development fund
to be constituted of the ten per cent shares of the barrios in real
estate tax collections as provided under Republic Act No. 3590 (the
Revised Barrio Charter) and annual contributions from each province,
city and municipality in an amount not exceeding P500 per barrio, which
fund shall be spent solely for community development projects that
would meet the requirements set forth by the Secretary of Local
Government and Community Development.
The Provincial Treasurer shall be the custodian of this fund and he
shall maintain in his books a special account therefor. Releases of
this fund shall be made through the Municipal Treasurer concerned who
shall be responsible for the proper disbursement and accounting of the
same.
6. Each province, city and municipality shall
appropriate in its annual general fund budget no less than twenty per
centum (20%) of its annual allotment for development projects.
The development plans of the local units shall be subject to the
approval of the Secretary of Local Government and Community
Development, who shall issue the necessary guidelines for the purpose.
7. In addition, five per centum (5%) of the
collections from national internal revenue taxes not otherwise accruing
to special funds and special accounts in the general fund shall accrue
to a local government fund which shall be released by the President as
financiald to local governments or to projects.
8. This revised allotment system shall take effect
July 1, 1973.
9. The Secretary of Finance shall issue the necessary
rules and regulations for the prompt and effective implementation of
this decree.
All laws or parts of law inconsistent herewith are hereby revoked or
modified accordingly.
Done in the City of Manila,
this 3rd day of March, in the year of Our Lord, nineteen hundred and
seventy-three.
|
Back
to Home
- Back
to Main
chanroblesvirtuallawlibrary
Since 19.07.98
|