Passing along information to clarify the rules on Tax-exempt Donations, sent by Connie Gomez Valdes to a mailing list:
Dear Friends:
I called DSWD to clarify rules on goods donations. I have read a lot of angry mails condemning government and NDCC regarding incompetence and mismanagement in this time of tragedy. No offense meant to anyone, but instead of being negative, can we just contribute positively to the chaos without hurting people or calling people names.
In my own small way I called DSWD personally to clarify the rules. Below is the response of Elma Pille who is in charge of importations in DSWD.
She also informed me that we can directly send donations to PNRC if we want and it will be tax exempt. However, definitely used clothing is not allowed without endorsement of DSWD. The limitation however is that it must be an NGO receiving the items not an individual.
I also called PNRC and spoke to the one in charge of logistics. Rules are as follows:
1. Show letter on intent that the goods from abroad are intended for PNRC National Headquarters.
2. Packing list showing content of goods. If food please indicate expiry date and put FRAGILE.
3. Airway bill.
PNRC will coordinate with Dept of Finance for release of goods...tax exempt.
Tel Nos:
DSWD 9316146/9318101 local 360 - Elma Pille
PNRC - 5270000 ask for Susan
5217229 ask for Mrs. Lita
Let's help one another okay? Mabuhay ang Pilipinas - and Please pray!
Thanks
connie
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Below is an email from Elma Pille:
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Date: Thu, 1 Oct 2009 06:01:16 -0500
Subject: Clarification on Foreign Donation
Ma'm,
This is to clarify your queries on foreign donations.
* There are two (2) import facilities to release foreign donations - the special import facility under Presidential Memorandum Order No. 36 (PMO 36) and the regular import facility under Section 105 (l) of the Revised Tariff and Customs Code of the Philippines (TCCP).
* PMO 36 is utilized for importations intended for distribution to calamity areas and donors are encourage to consign the goods to DSWD. The duty and taxes accruing to importation cleared under PMO 36 are shouldered by the Office of the President.
* The regular import facility provides duty free importation by DSWD registered/licensed/accredited social welfare and still subject to 12% VAT..
* Used clothing is prohibited as per RA No. 4653, thus the Bureau of Customs seize/apprehend said importation.
* Both import facilities require submission of the bill of lading, packing list or invoice, deed of donation duly authenticated by Philippine Consular Office from point of origin to the DSWD as the recommending Office for availment of the duty free privilege.
* Importation consigned to any private entity is considered a regular importation subject to duty and taxes.
Please feel free to call me should you have other inquiries.
Elma
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