By virtue of the powers conferred into the NTA pursuant to Executive Order No. 245, and after a series of consultative meetings with the stakeholders of the tobacco industry, the rate of R&R Fee is hereby increased, as follows:

Section 1. R&R Fee for Trading Centers Operators. All TC Operators shall pay the R&R Fee at the rate of PhP0.50, per kilogram of all tobacco acceptances at the TC level.  The billing of R&R Fee for TCs shall be prepared by the concerned NTA Branch Office where the TC is located.

Section 2. Additional R&R Fee for Cigar/Cigarette Manufacturers. All CMs shall pay the additional R&R Fee at the rate of PhP0.80, per kilogram of all locally grown leaf tobacco accepted/purchased by their affiliated/satellite Trading Centers.  The billing of R&R Fee for CMs shall be prepared by the NTA Finance Department based from the consolidated data prepared by the NTA Regulation Department using the Notice of Billing issued by the NTA Provincial Branch Offices.

Section 3. Deadline for Payment and Penalties for Late Payments. The deadline for payment of R&R Fee shall be in accordance with the Trading Rules and Regulations, which should not be later than three (3) calendar days from receipt of the billing. Late payments shall be charged with a penalty of three percent (3%) per month, compounded monthly.

Section 4. Effectivity. This Memorandum Circular shall take effect after fifteen (15) days from its publication in a newspaper of general circulation and filing with the Office of the National Administrative Register (ONAR).

For the guidance and compliance of all concerned.


Adopted: 08 February 2011


(SGD.) EDGARDO D. ZARAGOZA
Administrator and Vice-Chairman
NTA Governing Board