A. On April 1, 2020, the Department of Finance (DOF) issued the Implementing Rules and Regulations (IRR) for Section 4 (aa) of the Bayanihan Act, which rules will take effect immediately upon publication. According to the finance department, the rules will be published on April 2, 2020
The Bayanihan Act’s Section 4 (aa) grants the Philippine President the power to “[d]irect all banks, quasi-banks, financing companies, lending companies, and other financial institutions, public and private, including the Government Service Insurance System (GSIS), Social Security System (SSS), and Pag-IBIG Fund, to implement a minimum of a 30-day grace period for the payment of all loans, … as well as credit card payments, falling due within the Enhanced Community Quarantine (ECQ) (which is the period from March 17 to April 12, 2020, unless lifted earlier or extended), without incurring interests penalties, fees, or other charges. Persons with multiple loans shall likewise be given the minimum 30-day grace period for every loan.”
B. Bureau of Internal Revenue released issuances implementing the Bayanihan Act.
1. Revenue Regulations (RR) No. 7-2020 implements Section 4(z) of the Bayanihan Act by extending the statutory deadlines for the submission and/or filing of various documents and the payment of various taxes. This RR is a consolidation of extensions granted under the various Revenue Memorandum Circulars (RMC) previously issued by the Commissioner.
2. Revenue Regulations (RR) No. 6-2020 (Implementing the Tax Exemption Provision of Republic Act No. 11469, otherwise known as the “Bayanihan to Heal As One Act”) dated March 27, 2020 was also issued which exempts tax on essential health equipment and supplies imports.
The bulletin was prepared by SyCipLaw partners Rose Marie M. King-Dominguez, Carina C. Laforteza, with the assistance of associate, Hailin DG. Quintos and legal assistant, Severino Miguel B. Sanchez.
The full text of the bulletin can be found below: