Presidential Decree No. 1217 (PD 1217) — Extending Benefits Provided Under Presidential Decree No. 745 Not Only to Employees or Workers but to Low Income Families in General.
WHEREAS, the Constitution of the Philippines provides that
the State shall establish, maintain and ensure, adequate social services in the
field of "housing to guarantee the enjoyment of the people of a decent standard
pf living;
WHEREAS, the. housing problem of the country has grown into
a critical magnitude requiring the immediate and concrete institution of
measures which can meet the needs of Filipino families for decent dwellings;
WHEREAS, the need to resolve the housing problem" therefore
calls for a joint venture between the government and
WHEREAS, it is incumbent upon the Government to harness and
promote housing ventures in terms of capital expenditures, land expertise, and
financing including the provision for incentives and facilities to broaden the
private sector participation in the housing investment;
WHEREAS, there are domestic corporations and partnerships,
which are willing or already have plans to provide housing accommodations for
the low income group but are stymied by financial difficulties;
WHEREAS, Presidential Decree No. 745 provides such
incentives but only qualified workers, employees, and their domestic employers
as the recipients of these benefits, and it is incumbent upon government to make
available such incentives to all low income families and to those who provide
housing for them;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the power3 vested in me by the Constitution do hereby
decree and order the following:
SECTION 1. The National Housing Authority shall finance
under liberalized credit temis housing for low-income families
that may be
proposed by domestic corporations, partnership and landowners organized and
existing under Philippine law, operating for profits, for low-income groups
under any or all of the following schemes:
Affordable interest rates and repayment terms;
Graduated amoitizations scheme in a manner that beneficiaries shall pay
smaller amortizations during the initial period of repayment; and
Government subsidy of a portion of the interest payment, or a portion of the
capital cost of construction.
SEC. 2. Domestic corporations, partnerships or landowners as
defined above which invest funds in housing for low-income groups shall be
allowed a reasonable margin of profit if lots and dwelling units are to be so'd
to the low-income groups on easy installment terms; or if the dwelling units be
leased to the low-income groups on a monthly rental basis.
SEC. 3. Pursuant to the above incentives, such domestic
corporations and partnerships and landowners shall enjoy tax exemptions on:
Real estate tasos on the improvements which will be used for housing by
lew-income groups;
Taxes on income derived from the installment sales of houses to low income
groups or income derived from rentals' thereof of; and
Taxes on interest earned due to the financing of housed for the low-income
groups.
SEC. 4. The National Housing Authority shall define the
low-income groups qualified in this decree and the extension of housing benefits
to these groups, upon the certification of the Authority, shall entitle the
domestic corporations, partnerships and landowners to the incentives enumerated
in this decree. Benefits of this decree shall however cease upon evidence as
decided by the Authority that use of the housing units has passed to groups
other than low-income groups. The Authority shall formulate rules and
regulations to implement the provisions and the intent of this section.
SEC. 5. The benefits of this decree shall accrue only to new
projects and development certified and approved by the National Housing
Authority as eligible for the grant under this decree.
SEC. 6. All laws, orders and decrees as well as rule and
regulations inconsistent herewith are hereby repealed and/or modified
accordingly.
SEC. 7. This order shall take effect immediately.
Done in the City of Manila, this 14th day of October, in the year of Our
Lord, nineteen hundred and seventy-seven.
(Sgd.) FERDINAND E. MARCOS
President of the
Philippines
By the President:
(Sgd.) JUAN C. TUVERA
Presidential Assistant Secretary
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
