RR No. 6-2020: Implements the Tax Exemption provision of RA No. 11469 (Bayanihan to Heal as One Act)

Key points

1. Exempt importations. Importation of critical healthcare equipment or supplies to combat the COVID-19 emergency is exempt from Value-Added Tax, Excise Tax and other fees. This includes personal protective equipment, laboratory equipment and reagents, medical equipment and devices, surgical supplies, common medicines, testing kits, and others the Department of Health and other agencies determine.
2. Materials for manufacturers. Importation of materials to make these items is likewise exempt, if the importing manufacturer is on the Master List of the Department of Trade and Industry and other incentive granting bodies.
3. No ATRIG. Importation is not subject to the Authority to Release Imported Goods (ATRIG) under RMO No. 35-2002, so the goods can be released from the Bureau of Customs. The BIR conducts post investigation or audit based on the BOC list of importers without an ATRIG.
4. Donations. Donations of these imported articles to the National Government, to a non-profit entity created by its agencies, or to a political subdivision are exempt from Donor’s Tax. They follow the ordinary rules of deductibility.
5. Effectivity. The regulations take effect immediately and are in full force only during the three (3) month effectivity of RA No. 11469, unless extended or withdrawn by Congress or ended by Presidential Proclamation.

Who is affected

• Importers of critical healthcare equipment and supplies
• Importing manufacturers on the DTI Master List
• Donors to the National Government and its non-profit entities or political subdivisions

Deadlines and effectivity

• Three (3) month effectivity of RA No. 11469, unless extended or withdrawn by Congress or ended by Presidential Proclamation