CTA sets aside MisOr power co-op’s tax liabilities based on 2013 reform law
02 Mar 2023
In a 22-page decision dated Feb. 28 and made public on Mar. 1, the CTA Special Second Division said the utility was entitled to an income tax exemption under the National Electrification Administration (NEA) Reform Act of 2013 or Republic Act No. 10531.
“Existing electric cooperatives may likewise opt to register as stock corporations with the Securities and Exchange Commission and shall continue to enjoy the benefits under this act,” the tribunal said.
Under the law, electric cooperatives registered with NEA are exempt from income taxes, franchise tax, value-added tax and all national government fees.
