NPM No. 105-2015

Requesting Entity: Civil Aviation Authority of the Philippines

Issues Concern: Tax Clearance



Whether the submission of tax clearance is a requirement for the award of projects procured through Shopping and Negotiated Procurement (Small Value Procurement) in accordance with Sections 52 and 53.9 of the revised Implementing Rules and Regulations (IRR) of Republic Act (RA) No. 9184.

In case of procurement undertaken through any of the alternative methods of procurement provided in Rule XVI of the IRR of RA 9184, except Limited Source Bidding and Negotiated Procurement under Two Failed Biddings, wherein competitive bidding or a semblance thereof exists, the procuring entity has the discretion which requirements it shall prescribe to ascertain that it is entering into a contract with a technically, legally and financially capable supplier, contractor or consultant.

Accordingly, the procuring entity has the option to require the submission of the Tax Clearance for procurement projects conducted through Shopping and Small Value Procurement.