RMC No. 28-2023: Circularizes Republic Act No. 11898 (Extended Producer Responsibility Act of 2022) and its Implementing Rules and Regulations

Key points

1. Incentives. Obliged Enterprises, Producer Responsibility Organizations acting for them, and other registered business enterprises may apply for incentives under Title XIII of the NIRC, as amended, for eligible activities. The activities must go through the standard Strategic Investment Priority Plan identification process.
2. Deductible expenses. Extended Producer Responsibility expenses of Obliged Enterprises, PROs and private enterprises count as necessary expenses deductible from gross income. They must meet the substantiation requirements under Section 34(A)(I) of the NIRC.
3. Donations. Legacies, gifts and donations to LGUs, enterprises or private entities, including NGOs, for socially acceptable, effective and efficient solid waste management are exempt from all internal revenue taxes and customs duties. They are fully deductible from the donor’s gross income. Standard procedures are in Sections 105-106 of the Tariff and Customs Code.

Who is affected

• Obliged Enterprises
• Producer Responsibility Organizations
• Donors to solid waste management programs