CHAPTER XV: TAXES AND FEES
Section 83
Income Taxes
After the lapse of the income tax holiday as provided for in the Omnibus Investments Code, the contractor shall be liable to pay income tax as provided in the National Internal Revenue Code, as amended.
Section 84
Excise Tax on Mineral Products
The contractor shall be liable to pay the excise tax on mineral products as provided for under Section 151 of the National Internal Revenue Code: Provided, however, That with respect to a mineral production sharing agreement, the excise tax on mineral products shall be the government share under said agreement.
Section 85
Mine Wastes and Tailings Fees
A semi-annual fee to be known as mine wastes and tailings fee is hereby imposed on all operating mining companies in accordance with the implementing rules and regulations. The mine wastes and tailings fee shall accrue to a reserve fund to be used exclusively for payment for damages to:
a. Lives and personal safety;
b. Lands, agricultural crops and forest products, marine life and aquatic resources, cultural resources; and
c. Infrastructure and the revegetation and rehabilitation of silted farm lands and other areas devoted to agriculture and fishing caused by mining pollution.
This is in addition to the suspension or closure of the activities of the contractor at any time and the penal sanctions imposed upon the same.
The Secretary is authorized to increase mine wastes and tailings fees, when public interest so requires, upon the recommendation of the Director.
Section 86
Occupation Fees
There shall be collected from any holder of a mineral agreement, financial or technical assistance agreement or exploration permit on public or private lands, an annual occupation fee in accordance with the following schedule:
a. For exploration permit — Five pesos (P5.00) per hectare or fraction thereof per annum;
b. For mineral agreements and financial or technical assistance agreements — Fifty pesos (P50.00) per hectare or fraction thereof per annum; and
c. For mineral reservation — One hundred pesos (P100.00) per hectare or fraction thereof per annum.
The Secretary is authorized to increase the occupation fees provided herein when the public interest so requires, upon recommendation of the Bureau Director.
Section 87
Manner of Payment of Fees
The fees shall be paid on the date the mining agreement is registered with the appropriate office and on the same date every year thereafter. It shall be paid to the treasurer of the municipality or city where the onshore mining areas are located, or to the Director in case of offshore mining areas. For this purpose, the appropriate officer shall submit to the treasurer of the municipality or city where the onshore mining area is located, a complete list of all onshore mining rights registered with his office, indicating therein the names of the holders, area in hectares, location, and date registered. If the fee is not paid on the date specified, it shall be increased by twenty-five per centum (25%).
Section 88
Allocation of Occupation Fees
Thirty per centum (30%) of all occupational fees collected from holders of mining rights in onshore mining areas shall accrue to the province and seventy per centum (70%) to the municipality in which the onshore mining areas are located. In a chartered city, the full amount shall accrue to the city concerned.
Section 89
Filing Fees and Other Charges
The Secretary is authorized to charge reasonable filing fees and other charges as he may prescribe in accordance with the implementing rules and regulations.
