Section 12
SEC. 12. Section 183 of the National Internal Revenue Code is hereby amended by adding a new paragraph (c) to read as follows: " (c) Flexibility clause.-In the interest of the national economy and the general welfare, and subject to the limitations herein prescribed, the President upon recommendation of the Secretary of Finance and the National Economic Development Authority is hereby empowered to revise the rates of percentage taxes, including any necessary change in the classification of the articles enumerated in sections 194, 195, 196, 197, 198, 199 and 201. The existing rates may be increased by not more than 50% or decreased by not more than 10%. " The above authority may be exercised by the President if any of the following condition exists: " (1) Economic conditions render it necessary to increase revenue, or to redirect expenditure or consumption patterns by increasing or decreasing the rates of percentage tax on certain commodities; " (2) Where, in the light of technological and social changes, it is necessary to classify new products or to reclassify certain articles subject to the sales tax on the basis of the changed concepts of essentiality or the degree of manufacturing done; or " (3) Where it is necessary to counter an adverse action on the part of another country."