Amending Paragraphs 1 And 3 Of Presidential Decree No. 23, DatedOctober 16, 1972

Case Overview and Summary

Summary of Presidential Decree No. 67

Tax Amnesty for Previously Untaxed Income and Wealth
- Paragraph 1 of Presidential Decree No. 23 is amended to provide tax amnesty for previously untaxed income and/or wealth.
- A tax of 10% is imposed on such previously untaxed income or wealth, subject to the following conditions:
• The income/wealth must have been earned or realized prior to 1972. (Section 1a)
• The taxpayer must file a return with the Commissioner of Internal Revenue on or before March 31, 1973, showing such previously untaxed income and/or wealth. (Section 1b)
• If the previously untaxed wealth includes cash hoarded abroad, it must be repatriated and deposited with any bank in the Philippines or invested in specified instruments within 6 months from the time of disclosure. (Section 1c)
• The taxpayer must file a confidential return with the Bureau of Internal Revenue, which shall not be subject to verification. (Section 1d)

Confidentiality and Non-Prosecution
- After paying the 10% tax, the taxpayer shall not be subject to any investigation, whether civil, criminal, or administrative, regarding the previously untaxed wealth and/or income. (Section 2)
- The declaration shall not be used as evidence against, or to the prejudice of, the declarant in any proceeding. (Section 2)
- Any person who discloses information relative to the declaration shall be subject to imprisonment of not more than two (2) years. (Section 2)

Implementation
- The Secretary of Finance, upon the recommendation of the Commissioner of Internal Revenue, shall promulgate the Rules and Regulations to implement this Decree. (Section 3)