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Section 1
Reduction and Condonation
Section 1.
Reduction and Condonation.
All liabilities for RPTs for CY 2024, including any special levies accruing to the Special Education Fund, on property, machinery and equipment actually and directly used by IPPs for thr production of electricity under BOT scheme and similar contracts, whether dominated as Power Purchase Agreements, Energy Conservation Agreements or other contractual agreements, with GOCCs, assessed by LGUs and other entitied authorized to impose RPTs for CY 2024, are hereby reduced to an amount equivalent to the tax due if computed based on an assesment level of 15% of the fair market value of said property, machinery and equipment depreciated at the rate of two percent (2%) per annum, less any amount already paid by the IPPs. All interests and/or penalties on such deficiency RPT liabilities are also hereby condoned and the concerned IPPs are relieved from payment thereof.
Section 2
Application to Future RPT Liabilities
Section 2.
Application to Future RPT Liabilities.
All RPT payments made by the IPPs over and above the reduced amount under Section 1 of this Order shall be applied to their RPT liabilities for succeeding years.
Section 3
Compliance by all Government Entities
Section 3.
Compliance by all Government Entities.
All concerned departments, agencies, and instrumentalities, including GOCCs and LGUs, are hereby directed to strictly comply with this Order. Any violation of the provisions of this Order shall be dealt with in accordance with relevant laws, rules and regulations.
For this purpose, the Department of the Interior and Local Government (DILG), in coordination with DOF, is hereby directed to monitor the compliance of all concerned LGUs.
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Further, within six (6) months from the effectivity of this Order, the DOF shall submit to the President, through the Office of the Executive Secretary, a progress report on the status of the implementation of this Order.
Section 4
Separability
Section 4.
Separability.
If any part or provision of this Order shall be held invalid or unconstitutional, the provisions not affected shall remain in full force and effect.
Section 5
Repeal
Section 5.
Repeal.
All orders, rules and regulations, and other issuances or parts thereof which are inconsistent with the provisions of this Order, are hereby repealed or modified accordigly.
Section 6
Effectivity
Section 6.
Effectivity.
This Order shall take effect immediately upon its publication in the Official Gazette or in a newspaper of general circulation.
DONE,
in the City of Manila, this 13th day of February, in the year of Our Lord, Two Thousand and Twenty-Five.
(Sgd.)
FERDINAND R. MARCOS, JR.
By the President:
(Sgd.)
LUCAS P. BERSAMIN
Executive Secretary