Tax Exemptions.
Section 53
SEC. 53. Tax Exemptions. - Machineries, equipment, tools for production, plants to convert mineral ores into saleable form, spare parts, supplies, materials, accessories, explosives, chemicals and transportation and communication facilities imported by and for the use of new mines and old mines which resume operation, when certified as such by the Secretary upon recommendation of the Director, are exempt from the payment of customs duties and all taxes except income tax for a period starting from exploration and ending five (5)years from the first date of actual commercial production of saleable mineral products: Provided, That such articles are not locally available in reasonable quantity, quality and price and are necessary or incidental in the proper operation of the mine. Any tax-exempt article acquired under this section shall not be sold, transferred or otherwise disposed of within a period of five (5) years from the time of such acquisition: Provided, That any such sale, transfer or other disposal of such articles within the aforesaid period shall be subject to the payment of all taxes and duties which shall have been due at the time of such acquisition, together with all interests and surcharges which amount shall constitute a lien on the articles sold. All mining claims, improvements thereon and mineral products derived therefrom shall likewise be exempt from the payment of all taxes, except income tax, for the same period provided for in the first paragraph of this section. The exemption provided for in this section shall be subject to such rules and regulations that shall be issued by the Director and approved by the Secretary.