INCREASING THE SPECIFIC TAX ON GASOLINE, DIESEL FUEL OIL, BUNKER FUEL OIL AND OTHER SIMILAR PETROLEUM PRODUCTS BY FURTHER AMENDING SECTIONS 142, 144 AND 145 OF THE NATIONAL INTERNAL REVENUE CODE, AS AMENDED.

• Number: Presidential Decree No. 874
• Sections: 3

Preamble

WHEREAS, the need for additional revenue for accelerated

development has rendered it imperative for the government to tap

resources from which this might equitably be derived;

WHEREAS, the increase in taxes on certain petroleum products

is a good source of revenue for the government;

WHEREAS, notwithstanding the last increase in the rate of

specific tax on gasoline, the tax on gasoline in the Philippines is

still one of the lowest in Asia as revealed in a comparative study of

gasoline taxes in several Asian countries/cities; and

WHEREAS, the increase in tax on gasoline, diesel fuel oil,

bunker fuel oil and other petroleum products is consistent with the

declared policy of the government to conserve fuel;

NOW, THEREFORE, I, FERDINAND E. MARCOS,

President of the Philippines, by virtue of the powers in me vested by

the Constitution, do hereby order and decree the following:

Section 1

SECTION 1. Sections 142, 144 and 145 of the National

Internal Revenue Code, as amended, are hereby further amended to read as

follows:

"SEC. 142. Specific tax on manufactured oils and other

fuels—On refined and manufactured mineral oils and motor fuels there

shall be collected the following taxes:

a. Kerosene, per liter of volume capacity, seven centavos;

b. Lubricating oils, per liter of volume capacity, sixty-five

centavos;

c. Naphtha, gasoline, and all other similar products of

distillation, per liter of volume capacity, thirty-three centavos;

f. Thinners and solvents, per liter of volume capacity, nineteen

centavos;

g. Liquefied petroleum gas, per kilogram, twelve centavos;

j. Aviation turbo jet fuel, per liter of volume capacity, nine

centavos.

"SEC. 144. Specific tax on bunker fuel oil.—On fuel oil,

commercially known as bunker fuel oil, and on all similar fuel oils,

having more or less the same generating power, there shall be collected,

per liter, four and one-half centavos.”

"SEC. 145. Specific tax on diesel fuel oil.—On fuel oil,

commercially known as diesel fuel oil, and on all similar fuel oils,

having more or less the same generating power, there shall be collected,

per liter, fourteen and one-half centavos.”

Section 2

SEC. 2. This Decree shall take effect immediately.

Done in the City of Manila, this 15th day of January, in the

year of Our Lord, nineteen hundred and seventy-six.

(Sgd.)

FERDINAND E. MARCOS

President

Republic of the Philippines

By the President:

(Sgd.)

JUAN C. TUVERA

Presidential Assistant