Tax on GOCCs

NIRC
Section 27 (C)
Rates of Income
Corporations. -

tax

on

Domestic

(C) Government-owned or ControlledCorporations, Agencies or Instrumentalities.

The provisions of existing special or general
laws to the contrary notwithstanding, all
corporations, agencies, or instrumentalities
owned or controlled by the Government,
except the Government Service Insurance
System (GSIS), the Social Security System
(SSS), the Philippine Health Insurance
Corporation (PHIC), the Philippine Charity
Sweepstakes Office (PCSO) and the
Philippine
Amusement
and
Gaming
Corporation (PAGCOR), shall pay such rate
of tax upon their taxable income as are
imposed by this Section upon corporations
or associations engaged in s similar
business, industry, or activity.
NIRC
Section 32 (B)(7)(b)
Gross Income.
(B) Exclusions from Gross Income.
The following items shall not be included in
gross income and shall be exempt from
taxation under this title:
(7) Miscellaneous Items.
(b) Income Derived by the Government or
its Political Subdivisions.
Income derived from any public utility or
from the exercise of any essential
governmental function accruing to the
Government of the Philippines or to any
political subdivision thereof.
Local Government Code
Section 133 (o)
Common Limitations on the Taxing Powers
of Local Government Units.
Unless otherwise provided herein, the
exercise of the taxing powers of provinces,

cities, municipalities, and barangays shall

not extend to the levy of the following:
(o) Taxes, fees or charges of any kind on
the National Government, its agencies and
instrumentalities, and local government
units.

Local Government Code

Section 154
Public Utility Charges.
Local government units may fix the rates for
the operation of public utilities owned,
operated and maintained by them within
their jurisdiction.