Republic Act No. 10001

Full Title

AN ACT REDUCING THE TAXES ON LIFE INSURANCE POLICIES, AMENDING FOR THIS PURPOSE SECTIONS A23 QND 183 OF THE NATIONAL INTERNAL REVENUE CODE OF 1997,AS AMENDED.

Date of Approval

2010-02-23

Approval Note

Approved by the President on February 23, 2010

Senate Bill No.

S. No. 3502

URL (Congress)

http://congress.gov.ph/download/ra_14/RA10001.pdf

URL (Supreme Court)

Supreme Court link to the resource

URL (Senate)

PDF link from senate.gov.ph

House Bill No.

H. No. 6017

Digital Resource

View PDF file as uploaded in Senate website

Congress

14th Congress of the Republic

Issuance Category

Legislative Issuance

Subjects

LIFE INSURANCE TAX

INSURANCE POLICIES -- TAXATION

NATIONAL INTERNAL REVENUE CODE OF 1997

REPUBLIC ACT 8424 -- AMENDMENTS AND REPEALS TAXATION

Official Gazette Details

Official Gazette Source

Official Gazette vol. 106 no. 17 page 2471 (4/26/2010)

Amendment Note

RA 8424, secs. 123 & 183

Legislative Issuance Type

Republic Act

House Bill first in billing

No

Senate Bill First in Billing

No

Body

S. No. 3502 H. No. 6017; 106 OG No. 43, 6110 (October 25, 2010); Manila Times, March 17, 2010

[ REPUBLIC ACT NO. 10001, February 23, 2010 ]

AN ACT REDUCING THE TAXES ON LIFE INSURANCE POLICIES, AMENDING FOR THIS PURPOSE SECTIONS 123 AND 183 OF THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:SECTION 1. Section 123 of the National Internal Revenue Code of 1997, as amended, is hereby further amended to read as follows:

"SEC. 123. Tax on Life Insurance Premiums. — There shall be collected from every person, company or corporation (except purely cooperative companies or associations) doing life insurance business of any sort in the Philippines a tax of two percent (2%) of the total premium collected, whether such premiums are paid in money, notes, credits or any substitute for money; but premiums refunded within six (6) months after payment on account of rejection of risk or returned for other reason to a person insured shall not be included in the taxable receipts; nor shall any tax be paid upon reinsurance by a company that has already paid the tax; nor upon premiums collected or received by any branch of a domestic corporation, firm or association doing business outside the Philippines on account of any life insurance of the insured who is a nonresident, if any tax on such premium is imposed by the foreign country where the branch is established nor upon premiums collected or received on account of any reinsurance, if the insured, in case of personal insurance, resides outside the Philippines, if any tax on such premiums is imposed by the foreign country where the original insurance has been issued or perfected; nor upon that portion of the premiums collected or received by the insurance companies on variable contracts, in excess of the amounts necessary. to insure the lives of the variable contract owners."Cooperative companies or associations are such as are conducted by the members thereof with the money collected from among themselves and solely for their own protection and not for profit."

SEC. 2. The new rate of two percent (2%) shall apply only to insurance policies that will be issued after the effectivity of this Act: Provided, however, That insurance policies taken out before the effectivity of this Act but the premiums are not yet fully paid, the new rate of two percent (2%) shall be applied to the remaining balance and for the remaining years.SEC. 3. Section 183 of the National Internal Revenue Code of 1997, as amended, is hereby further amended to read as follows:

"SEC. 183. Stamp Tax on Life Insurance Policies. — On all policies of insurance or other instruments by whatever name the same may be called, whereby any insurance shall be made or renewed upon any life or lives, there shall be collected. a one-time documentary stamp tax at the following rates:

If the amount of insurance does not exceed Php 100,000.00 exempt

If the amount of insurance exceeds Php100,000.00 but does not exceed Php300,000.00 Php10.00

If the amount of insurance exceeds Php300,000.00 but does not exceed Php500,000.00 Php25.00

If the amount of insurance exceeds Php500,000.00 but does not exceed Php750,000.00 Php50.00

If the amount of insurance exceeds Php750,000.00 but does not exceed Php1,000,000.00 Php75.00

If the amount of insurance exceeds Php1,000,000.00 Php100.00"

SEC. 4. Five (5) years after the effectivity of this Code, no tax on life insurance premium shall be collected: Provided, further, That on the said date, all policies of insurance or other instruments by whatever name the same shall be called whereby any insurance shall be made upon any life or lives shall be exempt from the documentary stamp tax.SEC. 5. Rules and Regulations. — The Secretary of Finance shall, upon recommendation of the Commissioner of Internal Revenue, promulgate the necessary rules and regulations for the effective implementation of the provisions of this Act.SEC. 6. Separability Clause. — If any provision of this Act is held unconstitutional or invalid, all other provisions not affected thereby shall remain valid.SEC. 7. Repealing Clause. — All laws, decrees, executive orders, rules and regulations or parts thereof which are inconsistent with this Act are hereby repealed, amended or modified accordingly.SEC. 8. Effectivity. — This Act shall take effect fifteen (15) days following the completion of its publication in the Official Gazette or in a newspaper of general circulation in the Philippines.Approved,

(Sgd.) JUAN PONCE ENRILE	(Sgd.) PROSPERO C. NOGRALES
President of Senate	Speaker of the House of Representatives

This Act which is a consolidation of Senate Bill No. 6017 and House Bill No. 3502 was finally passed by the Senate and House of Representatives December 15, 2009 and December 11, 2009, respectively.

(Sgd.) EMMA LIRIO-REYES	(Sgd.) MARILYN B. BARUA-YAP
Secretary of Senate	Secretary General House of Representatives

Approved: FEB 23 2010(Sgd.) GLORIA MACAPAGAL - ARROYOPresident of the Philippines

Source: Supreme Court E-Library | Date created: April 08, 2019

Source: Supreme Court E-Library

Senate Bill

S. No. 3502

House Bill

H. No. 6017

By Request

Scan the QR Code below or click this link to request the following:

Transcript of Plenary Debates
Transcript of Committee Meeting/s
Transcript of Conference Committee Meeting/s
Conference Committee (Bicam) Report
Turned-over Documents
Vertical Files and Newspaper Articles
Others

Bill Note

Senate Bill First in Billing

Legislative History

Entitled:

AN ACT REDUCING THE TAX INSURANCE PREMIUM UNDER CERTAIN CONDITIONS, AMENDING FOR THIS PURPOSE SECTION 123 OF THE NATIONAL INTERNAL REVENUE CODE, AS AMENDED

[ THIRD REGULAR SESSION, 14TH CONGRESS ]

[ 2009 ]

10/15/2009 Prepared and submitted by the Committee on WAYS AND MEANS with Senator(s) JINGGOY P. EJERCITO-ESTRADA, LOREN B. LEGARDA, EDGARDO J. ANGARA and PANFILO M. LACSON as author(s) per Committee Report No. 724, recommending its approval in substitution of HBN-6017, taking into consideration SBNos. 596, 2117 and 3181;

11/9/2009 Sponsor: Senator PANFILO M. LACSON;

11/9/2009 Abstention: Senator M.A. MADRIGAL;

11/9/2009 Committee Report calendared for Ordinary Business;

11/10/2009 Transferred from Ordinary Business to Special Order;

11/10/2009 Sponsorship speech of Senator PANFILO M. LACSON;

11/16/2009 Senator Compañera PIA S. CAYETANO expressing full support on the bill and was made cosponsor;

11/16/2009 Period of interpellation closed;

11/16/2009 Period of committee amendments;

11/16/2009 Period of committee amendments closed;

11/16/2009 Period of individual amendments;

11/16/2009 Period of individual amendments closed;

11/16/2009 Approved on Second Reading with Amendments;

11/17/2009 Printed copies were distributed to the Senators;

12/1/2009 Approved on Third Reading:

12/1/2009 In favor: (10) EDGARDO J. ANGARA, BENIGNO S. AQUINO III, MIRIAM DEFENSOR SANTIAGO, JINGGOY P. EJERCITO-ESTRADA, JUAN PONCE ENRILE, GREGORIO B. HONASAN II, PANFILO M. LACSON, M. A. MADRIGAL, MAR ROXAS and JUAN MIGUEL F. ZUBIRI;

12/1/2009 Against: N o n e;

12/1/2009 Abstention: N o n e;

12/1/2009 Senate requested the House of Representatives for a conference on the disagreeing provisions of SBN-3502 and HBN-6017, and designating Senators Lacson, Angara, Zubiri and Cayetano (P.) as its conferees;

12/7/2009 House of Representatives agreed to a conference on the disagreeing provisions of SBN-3502 and HBN-6017, and designated Representatives Javier, Salvacion, Jr., Vinzons-Chato, Lapus and Noel as its conferees to the Bicameral Conference Committee; (See: O.B. dated December 14, 2009);

12/11/2009 Conference Committee Report submitted to the Senate, recommending the SBN-3502 in consolidation with HBN-6017 be approved as reconciled;

12/11/2009 The Joint Explanation of the Conference Committee Report is inserted into the Record;

12/11/2009 Conference Committee Report Approved by the Senate;

12/16/2009 Conference Committee Report approved by the House of Representatives on December 15, 2009;

[ 2010 ]

1/25/2010 Enrolled copies of the consolidated version of HBN-6017 and SBN-3502, received by the Senate for the signature of Senate Secretary Reyes and Senate President Enrile;

2/3/2010 Enrolled copies of the consolidated version of HBN-6017 and SBN-3502, sent back to the House of Representatives already signed by Senate Secretary Reyes and Senate President Enrile;

FINAL TITLE:
AN ACT REDUCING THE TAXES ON LIFE INSURANCE POLICIES, AMENDING FOR THIS PURPOSE SECTIONS 123 AND 183 OF THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED

5/31/2010 Consolidated with HBN-6017 which was Approved and Signed into Law by the President of the Philippines, Her Excellency President Gloria Macapagal Arroyo, vetoing certain item, Sec. 4, "Exempting life insurance premiums from tax", on February 23, 2010, and became;

5/31/2010 REPUBLIC ACT NO. 10001.
=====================

Committee Report Senate Link

View Committee Report

View PDF link of Committee Report no. 724

Committee Report No.

724

Text as Filed

SBN-3502 (CTTE. RPT. 724)

Legislative History

View Legislative History in Senate website

Floor Activity

View Floor Activity in Senate website

Committee Referral

View Committee Referral in Senate website

If the amount of insurance does not exceed Php 100,000.00	exempt

If the amount of insurance exceeds Php100,000.00 but does not exceed Php300,000.00	Php10.00

If the amount of insurance exceeds Php300,000.00 but does not exceed Php500,000.00	Php25.00

If the amount of insurance exceeds Php500,000.00 but does not exceed Php750,000.00	Php50.00

If the amount of insurance exceeds Php750,000.00 but does not exceed Php1,000,000.00	Php75.00

If the amount of insurance exceeds Php1,000,000.00	Php100.00"

Entitled:
AN ACT REDUCING THE TAX INSURANCE PREMIUM UNDER CERTAIN CONDITIONS, AMENDING FOR THIS PURPOSE SECTION 123 OF THE NATIONAL INTERNAL REVENUE CODE, AS AMENDED
[ THIRD REGULAR SESSION, 14TH CONGRESS ]
[ 2009 ]
10/15/2009	Prepared and submitted by the Committee on WAYS AND MEANS with Senator(s) JINGGOY P. EJERCITO-ESTRADA, LOREN B. LEGARDA, EDGARDO J. ANGARA and PANFILO M. LACSON as author(s) per Committee Report No. 724, recommending its approval in substitution of HBN-6017, taking into consideration SBNos. 596, 2117 and 3181;
11/9/2009	Sponsor: Senator PANFILO M. LACSON;
11/9/2009	Abstention: Senator M.A. MADRIGAL;
11/9/2009	Committee Report calendared for Ordinary Business;
11/10/2009	Transferred from Ordinary Business to Special Order;
11/10/2009	Sponsorship speech of Senator PANFILO M. LACSON;
11/16/2009	Senator Compañera PIA S. CAYETANO expressing full support on the bill and was made cosponsor;
11/16/2009	Period of interpellation closed;
11/16/2009	Period of committee amendments;
11/16/2009	Period of committee amendments closed;
11/16/2009	Period of individual amendments;
11/16/2009	Period of individual amendments closed;
11/16/2009	Approved on Second Reading with Amendments;
11/17/2009	Printed copies were distributed to the Senators;
12/1/2009	Approved on Third Reading:
12/1/2009	In favor: (10) EDGARDO J. ANGARA, BENIGNO S. AQUINO III, MIRIAM DEFENSOR SANTIAGO, JINGGOY P. EJERCITO-ESTRADA, JUAN PONCE ENRILE, GREGORIO B. HONASAN II, PANFILO M. LACSON, M. A. MADRIGAL, MAR ROXAS and JUAN MIGUEL F. ZUBIRI;
12/1/2009	Against: N o n e;
12/1/2009	Abstention: N o n e;
12/1/2009	Senate requested the House of Representatives for a conference on the disagreeing provisions of SBN-3502 and HBN-6017, and designating Senators Lacson, Angara, Zubiri and Cayetano (P.) as its conferees;
12/7/2009	House of Representatives agreed to a conference on the disagreeing provisions of SBN-3502 and HBN-6017, and designated Representatives Javier, Salvacion, Jr., Vinzons-Chato, Lapus and Noel as its conferees to the Bicameral Conference Committee; (See: O.B. dated December 14, 2009);
12/11/2009	Conference Committee Report submitted to the Senate, recommending the SBN-3502 in consolidation with HBN-6017 be approved as reconciled;
12/11/2009	The Joint Explanation of the Conference Committee Report is inserted into the Record;
12/11/2009	Conference Committee Report Approved by the Senate;
12/16/2009	Conference Committee Report approved by the House of Representatives on December 15, 2009;
[ 2010 ]
1/25/2010	Enrolled copies of the consolidated version of HBN-6017 and SBN-3502, received by the Senate for the signature of Senate Secretary Reyes and Senate President Enrile;
2/3/2010	Enrolled copies of the consolidated version of HBN-6017 and SBN-3502, sent back to the House of Representatives already signed by Senate Secretary Reyes and Senate President Enrile;
FINAL TITLE: AN ACT REDUCING THE TAXES ON LIFE INSURANCE POLICIES, AMENDING FOR THIS PURPOSE SECTIONS 123 AND 183 OF THE NATIONAL INTERNAL REVENUE CODE OF 1997, AS AMENDED
5/31/2010	Consolidated with HBN-6017 which was Approved and Signed into Law by the President of the Philippines, Her Excellency President Gloria Macapagal Arroyo, vetoing certain item, Sec. 4, "Exempting life insurance premiums from tax", on February 23, 2010, and became;
5/31/2010	REPUBLIC ACT NO. 10001. =====================