Republic of the Philippines

DEPARTMENT OF THE INTERIOR AND LOCAL GOVERNMENT

REGION III

ADVISORY
No. 2020 - 290
May 14, 2020

TO : ALL PROVINCIAL DIRECTORS, CLUSTER TEAM LEADERS,

MLGOOs AND ALL OTHERS CONCERNED

SUBJECT : VALUE-ADDED TAX (VAT) RATE TO BE USED IN THE

PREPARATION OF THE APPROVED BUDGET FOR THE
CONTRACT FOR GOVERNMENT PROJECTS

In the implementation of F.Y. 2020 Assistance to Municipalities (AM) Program,

please be informed to the attached Revenue Memorandum Circular No. 85-2017 dated
October 11, 2017 with the above-mentioned subject.

Relative thereto, please remind our Locally Funded Projects Team that the VAT reflected
in the submitted Program of Works (POW) of MLGUs must be in accordance with the issued
memorandum from the Bureau of Internal Revenue.

For the information and guidance of all concerned.

JULIE J. DAQUIOAG, Ph.D., CESO III

Regional Director

“Matino, Mahusay at Maaasahan”

Diosdado Macapagal Government Center
Maimpis, City of San Fernando, Pampanga
Telephone Nos.: 045-455-3209 Telefax: 045-455-2405, 455-2472, 455-3208