FIRST NATIONAL ASSEMBLY Second Session [COMMONWEALTH ACT No. 238] B. No. 2662 AN ACT PROVIDING FOR THE ABOLITION OF THE CEDULA TAX Be it enacted by the National Assembly of the Philippines: SECTION 1. The cedula tax is abolished, and all delinquencies by reason thereof are condoned. SEC. 2. This Act shall take effect upon its approval. 13734 о SECOND NATIONAL ASSEMBLY First Session [COMMONWEALTH ACT No. 466] B. No. 957 AN ACT TO REVISE, AMEND AND CODIFY THE INTERNAL REVENUE LAWS OF THE PHILIPPINES. Be it enacted by the National Assembly of the Philippines: TITLE OF ACT SECTION 1. Title of Act.-This Act shall be known as the National Internal Revenue Code. TITLE I.-ORGANIZATION OF BUREAU SEC. 2. Chief officials of Bureau of Internal Revenue.The Bureau of Internal Revenue shall have one chief and one assistant chief to be known, respectively, as the Collector of Internal Revenue and the Deputy Collector of Internal Revenue. SEC. 3. Powers and duties of Bureau.-The powers and duties of the Bureau of Internal Revenue shall comprehend the collection of all national internal-revenue taxes, fees, and charges, and the enforcement of all forfeitures, penalties, and fines connected therewith. Said Bureau shall also give effect to and administer the supervisory and police power conferred to it by this Code or other laws. SEC. 4. Specific provisions to be contained in regulations.-The regulations of the Bureau of Internal Revenue shall, among other things, contain provisions specifying, prescribing, or defining: (a) The time and manner in which provincial treasurers shall canvass their provinces for the purpose of 81682 discovering persons and property liable to national internalrevenue taxes, and the manner in which their lists and records of taxable persons and taxable objects shall be made and kept. (b) The forms of labels, brands, or marks to be required on goods subject to a specific tax, and the manner in which the labeling, branding, or marking shall be effected. (c) The conditions under which and the manner in which goods intended for export, which if not exported would be subject to a specific tax, shall be labelled, branded, or marked. (d) The conditions to be observed by revenue officers, provincial fiscals, and other officials respecting the institution and conduct of legal actions and proceedings. (e) The manner in which persons authorized to have and keep prohibited drugs shall keep their records relating to the same. (f) The conditions under which opium may be imported, the manner of its storage and removal for use, as well as the manner in which the same shall be marked or labelled prior to removal. (g) The conditions under which prohibited drugs may be transferred from the possession of persons authorized to have and keep the same to the possession of other persons similarly authorized. (h) The conditions under which goods intended for storage in bonded warehouses shall be conveyed thither, their manner of storage, and the method of keeping the entries and records in connection therewith, also the books to be kept by storekeepers and the reports to be made by them in connection with their supervision of such houses. (i) The conditions under which alcohol intended for use in the arts and industries may be removed and dealt in, the character and quantity of the denaturing material to be used, the manner in which the process of denaturing shall be effected, the bonds to be given, the books and records to be kept, the entries to be made therein, the reports to be made to the Collector of Internal Revenue, and the signs to be displayed in the business or by the person for whom such denaturing is done or by whom such alcohol is dealt in. (j) The manner in which revenue shall be collected and paid, the instrument, document, or object to which revenue stamps shall be affixed, the mode of cancellation of the same, the manner in which the proper books, records, invoices, and other papers shall be kept and entries therein made by the person subject to the tax, as well as the manner in which licenses and stamps shall be gathered up and returned after serving their purposes. (k) The conditions to be observed by revenue officers, provincial fiscals, and other officials respecting the enforcement of Title III imposing a tax on estate, inheritances, legacies, and other acquisitions mortis causa as well as on gifts and such other rules and prohibition which the Collector of Internal Revenue may consider suitable for the enforcement of the said Title III. (1) The manner in which income tax returns, information, and reports shall be prepared and reported and the tax collected and paid, as well as the conditions under which evidence of payment shall be furnished the taxpayer, and the preparation and publication of income tax statistics. SEC. 5. Forms, certificates, and appliances supplied by the Collector of Internal Revenue.-It shall be the duty of the Collector of Internal Revenue, among other things, to prescribe, provide, and distribute to the proper officials the requisite licenses, internal-revenue stamps, and labels or tags used in sealing weights and measures, and all other forms, certificates, bonds, records, invoice books, instruments, appliances, and apparatus used in administering the laws falling within the jurisdiction of the Bureau. SEC. 6. Agents and deputies for collection of National internal revenue.-For the collection of the national internal revenue on imported articles the Insular Collector of Customs and his subordinates are constituted agents of the Collector of Internal Revenue; and the provincial and city treasurers, and their deputies shall be his deputies for the collection of other national internal revenue and the enforcement of all laws falling within the jurisdiction of the Bureau. SEC. 7. Expenses of collection to be borne by provinces and cities. The expenses incurred by the provincial, city, and municipal authorities in collecting national internal revenue and in enforcing the laws falling within the jurisdiction of the Bureau of Internal Revenue, including expenses incurred in appearing in the courts in internalrevenue cases, shall be borne by the respective provinces and cities. SEC. 8. Internal-revenue inspection districts. With the approval of the Department Head, the Collector of Internal Revenue shall divide the Philippines into such number of inspection districts as may from time to time be required for administrative purposes. Each of these districts shall be under the supervision of a provincial revenue agent. SEC. 9. Duties of provincial revenue agents and other internal-revenue officers.-It shall be the duty of every provincial revenue agent or other internal-revenue officers to see that all laws and regulations affecting national internal revenues are faithfully executed and complied with, and to aid in the prevention, detection, and punishment of any frauds or delinquencies in connection therewith. It shall also be the duty of every provincial revenue agent to examine into the efficiency of all officers and employees of the Bureau of Internal Revenue under his supervision, and to report in writing to the Collector of Internal Revenue any neglect of duty, incompetency, delinquency, or malfeasance in office of any internal-revenue officer of which he may obtain knowledge, with a statement of all the facts in each case and any evidence sustaining the same. He may, by notice in writing, suspend from duty any storekeeper or secret service agent, and in such case he shall immediately notify the Collector of Internal Revenue and within three days thereafter report his action and his reasons therefor in writing to said Collector. Should a provincial revenue agent or any officer under his supervision discover any neglect, incompetency, delin |