You are on page 1of 2

MARCH 22, 2012 DATE

NR # 2686
REF. NO.

Committee on Ways & Means approves tax provision of Rural Farm Schools Bill
The House Committee on Ways and Means supports the passage of a bill seeking to create farm schools in rural areas by approving the measures tax provision which exempts from the donors tax any donation or contribution which may be made to the farm schools. Prior to its referral to the Committee on Ways and Means chaired by Rep. Isidro Ungab (3rd District, Davao City), the substitute bill to House Bill 4358 or the proposed Rural Farm Schools Act of 2011 was approved by the Committee on Basic Education and Culture chaired by Rep. Salvador Escudero III (1st District, Sorsogon). Approved by the Committee on Ways and Means during a recent hearing is the bills tax provision, Section 14, which provides that Any donation, contribution, bequest and grant which may be made to the rural farm schools duly accredited by the Philippine Council for NGO Certification (PCNC) shall be exempt from the donors tax and same shall be considered as allowable deduction from the gross income in the computation of the income tax of the donor in accordance with the provisions of the National Internal Revenue Code of 1997, as amended. Finance Assistant Secretary Teresa Habitan said the DOF interposes no objection to the tax provision and the bill itself. The bill defines rural farm school as a parallel learning system and an alternative delivery mode of secondary education. It is a facilitative and experiential learning on the core subjects of social sciences, numeracy, literacy with focus on agriculture or fisheries and patterned after the needs of rural, agricultural or fisheries communities. The proposed establishment of rural farm schools is in pursuant of the State policy to protect and promote the right of all citizens to quality education at all levels and take appropriate steps to make such education accessible to all. Furthermore the State shall establish, maintain and support a complete, adequate and integrated system of education relevant to the needs of the people and society and encourage non-formal, informal and indigenous learning systems, as well as self-learning, independent and out-of-school study programs particularly those that respond to community needs. The State shall likewise promote sustainable agricultural productivity and rural development by empowering the human capital in the countryside through access to avenues of learning suited to the needs and realities of the rural agricultural communities.

MARCH 22, 2012 DATE

NR # 2686
REF. NO.

Public rural farm schools shall be free from tuition and other school fees, except those fees which may be allowed by the Department of Education. Private rural farm schools shall set a minimal fees subject to the approval of DepEd, provided that the relatives of beneficiaries of the Comprehensive Agrarian Reform Program (CARP) up to the third degree of consanguinity in the descending line shall be exempt from payment of said fees based on the bill. The bill is authored by Reps. Sharon Garin (Party-list, AAMBIS OWA), Escudero and Mark Llandro Mendoza (4th District, Batangas), and co-authored by members of the Committee on Ways and Means present during the hearing. (30) rbb

You might also like