AN ACT AMENDING SECTION 140 (A) OF REPUBLIC ACT NO. 7160

Case Overview and Summary

Summary of Republic Act No. 9640

Amusement Tax Provisions:
- The province may levy an amusement tax on the following places of amusement at a rate of not more than 10% of the gross receipts from admission fees (Section 1(a)):
    - Theaters
    - Cinemas
    - Concert halls
    - Circuses
    - Boxing stadia
    - Other places of amusement
- For theaters or cinemas, the tax shall be deducted and withheld by the proprietors, lessees, or operators before dividing the gross receipts with film distributors, and paid to the provincial treasurer. (Section 1(b))
- The following events are exempt from the amusement tax (Section 1(c)):
    - Operas
    - Concerts
    - Dramas
    - Recitals
    - Paintings and art exhibitions
    - Flower shows
    - Musical programs
    - Literary and oratorical presentations
    - Pop, rock, or similar concerts are not exempt.
- The provincial government may prescribe the time, manner, terms, and conditions for tax payment, and impose surcharges, interest, and penalties in case of fraud or failure to pay the tax. (Section 1(d))
- The proceeds from the amusement tax shall be shared equally by the province and the municipality where the amusement places are located. (Section 1(e))

Other Provisions:
- All inconsistent laws, executive orders, presidential decrees, ordinances, rules, and regulations are repealed or modified accordingly. (Section 2)
- The Act shall take effect 15 days after its complete publication in the Official Gazette or in at least two national newspapers of general circulation. (Section 5)