Presidential Decree No. 667 (PD 667) — Providing for Incentives to the Shipping Industry by Granting Additional Deductible Items for Income Tax Purposes.
WHEREAS, the government recognizes the important role of the
shipping industry in the economic development of the country;
WHEREAS, there is a need to increase the number of
ocean-going shipping vessels of Philippine registry;
WHEREAS, exporters and importers should be encouraged to
patronize Philippine flag vessels in order to effect foreign exchange
savings;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution,
do hereby decree the following as part of the law of the land.
SECTION 1. Exporters of Philippine products shall be allowed
to deduct from their taxable income to the extent of one hundred-fifty
percentum (150%) of the amount of overseas freight expenses and arrastre
charges in Philippine ports, provided that shipments are made on board
vessels of Philippine registry.
SEC. 2. Importers of goods that are to be utilized as raw
materials, intermediate products or for further manufacturing or for
resale shall be allowed to deduct from their taxable income to the
extent of one hundred-fifty percentum (150%) of the amount of overseas
freight expenses and arrastre charges in Philippine ports on goods
shipped from port of source to the Philippines, provided that shipments
are made on board vessels of Philippine registry.
SEC. 3. Enterprises that are registered with the Board of
Investments shall be allowed to deduct from their taxable income two
hundred percentum (200%) of shipping costs incurred in the transport of
their product and raw materials to or from foreign ports, provided that
shipments are made on board vessels of the Philippine registry.
SEC. 4. The pertinent provisions of the National Internal
Revenue Code, Investments Incentives Act, Export Incentives Act, and all
laws, decrees, rules and regulations, or parts thereof, inconsistent
with any of the provisions of this Decree are hereby repealed, amended
or modified accordingly.
SEC. 5. This Decree shall take effect immediately.
Done in the City of Manila, this 5th day of March, in the year of
Our Lord, nineteen hundred and seventy-five.
(Sgd.)
FERDINAND E. MARCOS
President
Republic of the Philippines
By the President:
(Sgd.)
ALEJANDRO MELCHOR
Executive Secretary
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
