Social Media and Import Taxes of the Philippines

Recycling for Disadvantaged Children, Angeles City National Trade School, and Gawad Kalinga

06/24/2010

Angeles City National Trade SchoolAngeles City, PampangaPhilippines

References

Consulate General of the Philippineshttp://www.pcgny.net/2009/visa_services/donations.html

PART ONE: SOCIAL MEDIA

The Opportunity If you are a non-profit organization or fundraiser, Facebook can help you connect with current supporters and grow your supporters quickly and easily. • Over 400 million global users are active on Facebook every month• Over 75 million people are supporters of non-profit Pages on Facebook• Over 100,000 non-profit Pages on Facebook 

BUILD A FACEBOOK PAGE

The first step to connecting with supporters is to create your NPO’s official presence via a Facebook Page. Pages are a free product for organizations and public figures to connect with supporters in an official, public manner. You can create and maintain a Facebook Page for your NPO from your personal account. If you don’t have a Page yet, please consult our detailed Pages Manual to get step-by-step instructions to create yours. Recycling for Disadvantaged Children (Recycling for Children)http://www.facebook.com/RecyclingforChildren/

TIPS TO HELP YOU CONNECT

1. Be Personal and EducationalPeople connect to NPOs on Facebook because they are passionate about the cause and want to participate in making change. Be careful not to only focus on fundraising as it may not be the best approach. Whenever possible, share updates directly related to the impact of your organization. For example, non-profits should:

Use a first person voice vs. third person to show supporters you are active on the page and encourage them to post feedback. Share information directly from your organization to educate supporters about new or past issues and programs.

2. Create Content Worth Sharing Empower people to share and spread the word among their Facebook friends by giving them content to interact with and share. Photos, Video and other content can go viral quickly as they attract more “like” and “comment” interactions, which then spread to friends of supporters, attracting new ones. For instance, non profits can: • Upload “behind the scenes photos” or inspiring videos.• Start a viral movement with status updates to pledge an activity such as this one.• Encourage supporters to take photos and videos from your events and upload themTo your page.  

3. Join the Conversation Facebook is a culture of conversations—NPOs have a huge opportunity to get immediate feedback on issues. Here are some tips to starting the conversation on your Page.• Poll your supporters on Facebook with a question now and then in your status update, instead of only posting statements. • Show you’re listening by making a comment among the supporter posts.• Don’t discredit an occasional negative comment – view it as an opportunity to start a dialogue and convert new supporters.

 

4. Use Tools to Increase Relevance Facebook Pages offer great tools to help you get closer to supporters.• Target your updates geographically when you have news to share that is specific toa certain local region.• Review Page Insights to see where supporters are from and discover new cities for upcoming events or mailings to drive support.• Use third party applications like Causes to add fundraising/donations to your Page.• Design a custom landing tab for your page to run special membership promotions or other applications. See example below.• Stay connected to your supporters by making mobile updates to your Page while on.

GROW YOUR CONNECTIONS

Once you’ve created optimal content and updates on your Page, here are some tips for promoting your Page to grow your audience. • Promote the Username for your non-profit page everywhere: to every email list, in print/broadcast/outdoor advertising, newsletters and more.• Add a Like Box to your company’s website so visitors can instantly connect to your Page without leaving your site.• Encourage supporters to add a Like Badge to their blog or website to show their connection to your non-profit on Facebook. See example below.• Run Facebook Ads targeted to cause keywords, related organizations, relevant geographies or donors/supporter demographics at affordable rates to convert them as supporters.

MAKE YOUR SITE SOCIAL

Now you can connect with your supporters across the web, with Facebook social plugins. Using these powerful tools, you can create social and personalized experiences on your website.Below are a few key tools to consider adding to your site. Like Button: The Like button lets users share pages from your site back to theirFacebook profile with one click.  Recommendations: The Recommendations plugin gives users personalized suggestions for pages on your site they might like. Activity Feed: The Activity Feed plugin shows users what their friends are doing on your site through likes and comments. Discover all of Facebook’s social plugins here and explore the easy ways to add Facebook to your site.

RESOURCES

Learn more tips and best practices for non profitshttp:/www.facebook.com/nonprofitsGet the latest updates on Facebook Pages product newshttp://www.facebook.com/facebookpagesExplore how other sites integrate Facebook via social pluginshttp://developers.facebook.com/showcaseLearn how to create affordable ads on Facebook and reach your exact audiencehttp://www.facebook.com/advertising/Connect with Facebook’s official Page for the latest company updateshttp://www.facebook.com/facebookUse the Facebook Help Center to get answers on specific products and featureshttp://www.facebook.com/help Credits are due to FacebookVisit www.facebook.com/nonprofits for more tips and updates. 

PART TWO: REGULATIONS FOR NONPROFIT IMPORTS TO THE PHILIPPINES

1. The Tariff and Customs Code of the Philippines (Presidential Decree No. 1464), as amended, provides for exemption from the payment of import duties for the following items: "Imported articles donated to, or for the account of, any duly registered relief organization, not operated for profit, for free distribution among the needy". A certification by the Department of Social Welfare and Development (DSWD) or the Department of Education, Culture and Sports (DECS), as the case may be, would be required. [Section 105 (I)]

5. Article XIV Section 4(4) of the Philippine Constitution provides that "subject to conditions prescribed by law, all grants endowments, donations, or contributions used actually, directly, and exclusively for educational purposes shall be exempt from tax".

CONDITIONS FOR DUTY-FREE IMPORTATION

Donations from abroad may qualify for duty exemption depending on the donee/consignee or recipient, and the nature of the item to be donated.

QUALIFIED RECIPIENTS

The following organizations and entities may qualify for duty free importation of donations: Non-profit, welfare, and charitable organizations which have been in operation for at feast six (6) months and are licensed or accredited by DSWD; Non-stock, non-profit educational and training institution duly registered under Philippine laws and operated exclusively for educational purpose, maintained and administered by private individuals or groups, offering formal education, and issued permit to operate by DECS in accordance with existing laws and regulations;

Educational, scientific, and cultural institutions or societies, and similar organizations duly approved by competent authorities such as DECS and the United Nations Educational, Scientific and Cultural Organization (UNESCO) National Commission of the Philippines; Other non-profit religious and/or charitable institutions registered with the Securities and Exchange Commission, except private individuals and civic, service, cultural, and scientific organizations or foundations;

ITEMS WHICH MAY BE IMPORTED Note: Only non-profit religious and charitable (except civic and service) institutions, government agencies and hospitals, and private primary and secondary hospitals may be allowed to receive donated essential machinery and equipment including spare parts and accessories on a duty free basis. Medical equipment and devices; Relief goods for free distribution to the needy or to be used in evacuation centers, provided these are not in commercial quantity; Reagents for research purposes; Scientific instruments or apparatus intended exclusively for educational purposes or pure scientific research; articles for the blind; and visual and auditory materials and works of art and collectors pieces of education, scientific, and cultural character pursuant to the Florence Educational Scientific and Cultural Agreement adopted by the General Conference of UNESCO at Florence, Italy in 1950;

REQUIRED DOCUMENTS 1. From the donor: Deed of donation duly authenticated by the Philippine Embassy or Consulate; Itemized list of donation (also referred to as packing list or inventory of donated items); Proforma invoice or commercial invoice (not required for used items); and Shipping documents (bill of lading or airway bill). Important: The name listed as donee/consignee or recipient in the Deed of donation must be the same as that appearing in the shipping documents.

1. FROM THE DONOR:

Deed of donation duly authenticated by the Philippine Embassy or Consulate; Itemized list of donation (also referred to as packing list or inventory of donated items); Proforma invoice or commercial invoice (not required for used items); and Shipping documents (bill of lading or airway bill). Important: The name listed as donee/consignee or recipient in the Deed of donation must be the same as that appearing in the shipping documents.

2. FROM THE DONEE/CONSIGNEE OR RECIPIENT

Letter of request for duty-free certification addressed either to the Department of Finance(DOF) or the National Economic and Development Authority (NEDA); Deed of acceptance of the donation; Distribution plan for the donation; Copy of SEC registration and Articles of Incorporation and/or By-laws, in case of non-stock, non-profit charitable or religious institutions requesting exemption from payment of duties for the first time; DSWD License to Operate and Certificate of Accreditation, if non-government organization; Current and valid DOH License to Operate, if hospital.

ADDITIONAL REQUIREMENTS:

For computer equipment and other educational, scientific, and cultural materials

Deed of undertaking indicating that the donated articles shall be used actually, directly and exclusively for educational purposes and shall not be resold or transferred for material consideration; DECS accreditation, if the recipient is an educational institution; UNESCO endorsement, if the recipient is a non-government organization; and Copy of BIR certificate, and international agreement or executive order allowing tax- exempt privileges, if applicable.

FILING OF APPLICATION

The donee/consignee or recipient files a letter of request for duty free importation either with the NEDA or the DOE. The NEDA processes, evaluates, and endorses requests for duty free importation for machinery and equipment. The DOE processes, evaluates, and endorses requests for duty free importation of relief goods (medicines, food, among others) intended for DSWD accredited and licensed non-government organizations, as well as books, publications, and education-related materials/equipment.

THE LETTER TO NEDA IS ADDRESSED TO:

The letter to NEDA is addressed to:The DirectorTrade, Industry, and Utility StaffNational Economic and Development AuthorityAmber Ave., Pasig CityThe letter to DOE is addressed to:The SecretaryDepartment of EinanceAttention: Revenue Operations GroupDOE Bldg., Roxas Blvd., Manila Important: For books and publications, the letter to DOE must be addressed to the Secretary of Finance (Attention: Mabuhay Lane).

RELEASE OF DONATION

Upon receipt of the endorsement by the agency concerned for the duty-free certification on the donation, the DOE issues the appropriate clearance and forwards the same to the Central Records Division, Bureau of Customs (BOG) by official messenger. A duplicate copy of the DOE clearance may be furnished to the donee/consignee or recipient upon request. The Tax Exempt Division of the BOG endorses the release of donation and forwards this document to the Informal Entry Division of the District Office concerned (South Harbor, MICP, NAIA, etc.). The Informal Entry Division checks/verifies, appraises and examines the donated shipment.

RELEASE OF DONATIONAfter completing the documentation and the payment of processing fees and charges (i.e., terminal handling fee, stripping, arrastre/wharfage, among others), the Bureau of Customs releases the shipment to the donee/consignee or its authorized representative. Processing for the release of donation at the Bureau of Customs usually takes about two to three (2-3) working days if all requirements are complete. Important: Donations, even if accorded duty free privilege, are still subject to value added tax (VAT), which is computed at 100/0 of the landed cost of the shipment.

OUR THANKS TO: ANGELES CITY NATIONAL TRADE SCHOOL (ACNTS), GAWAD KALINGA (GK), AND RECYCLING FOR DISADVANTAGED CHILDREN (RDC)

Websites:Gawad Kalingahttp://gk1world.com/HomeRedesign/GK/Facebookhttp://www.facebook.com/pages/Gawad-Kalinga/142965335159/ANCOP-Foundationhttp://www.ancopusa.org/ANCOP/Facebookhttp://www.facebook.com/people/Cfc-Ancop/100000421687907Recycling for Disadvantaged Childrenhttp://recyclingfordisadvantagedchildren.giving.officelive.com/RDC/Facebookhttp://www.facebook.com/RecyclingforChildren