Section 24Sec./Art. 24

Section 116 of the National Internal Revenue Code of 1997, as amended, is hereby further amended to read as follows:

"Section 16. Tax on Persons Exempt from Value-Added Tax (VAT). - Any person whose sales are exempt under Section 109(CC) of this Code from the payment of value-added tax and who is not a VAT-registered person shall pay, either electronically or manually, a tax equivalent to three percent (3%) of his gross quarterly sales: Provided, That cooperatives shall be exempt from the three percent (3%) tax herein imposed: Provided, further, That effective July 1, 2020 until June 30, 2023, the rates shall be one percent (1%)."