Imported PPE loses tax-free perk
MANILA, Philippines — With the expiration of the Bayanihan to Heal as One Act, importation of personal protective equipment (PPE) and other medical supplies lost its tax-exempt privilege.
In an advisory on Saturday, the Bureau of Customs (BOC) said that since Republic Act No. 11469, expired last June 24, the guidelines on tax and duty exemption for imported health equipment and supplies that were issued to implement the Bayanihan law also lapsed.
“Following the expiration of the said guidelines, the public is advised to pay the required duties and taxes for imports of PPE and other medical emergency supplies beginning June 25,” the BOC said.
When the Bayanihan law was still in effect, imported PPE, medical supplies and test kits were exempted from paying import duties, 12-percent value-added tax, excise taxes and other fees.
To fast-track their release from ports, the Bureau of Internal Revenue had also allowed exemption of importations for COVID-19 response from the required authority to release imported goods.
During the period March 9 to June 26, the BOC released 13,534 PPE shipments under flexible arrangements amid a public health emergency.
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