The Quezon City government will soon be providing incentives to private entities who make donations for the city’s public schools.
Mayor Herbert Bautista has approved an ordinance for this purpose, authored by Councilor Aly Medalla of District 5.
Under the new ordinance, private entities may be entitled to incentives upon donation of equipment, supplies, facilities and/or services to public schools agreed upon by the QC division of city schools, local schools board and the donors.
Justifying the need for incentives, Councilor Medalla said: “There remains to be a high denand for educational facilities, buildings, land, and other resources that the government is hard-pressed to provide in its own.”
The ordinance allows a tax incentive equivalent to a total of 50 percent of the value of the donation to be deductible, 25 percent in Year One and 25 percent in Year Two, from the gross receipts of the donor.
The local school board shall be the sole body that shall determine, assess, and recommend that the donations are qualified or covered by the tax incentive.
Donations shall be subject to the following terms and conditions: for donated equipment and supplies, these must be brand new or in good working condition; for donated land, it must be free from any liens and encumbrances, titled in the donor’s name and not located in a high-risk area; and for donated rooms and buildings, these must be considered habitable and safe for use as determined by the City Building Official.
The local school board, in cooperation with the division of city schools and the city treasury, shall be tasked to craft the implementing rules and regulations (IRR) for the ordinance. The IRR must be submitted to the city counci8l for approval within 90 days after the effectivity of the ordinance.
Posted By: Edrillan Pasion
