BIR Ruling
BIR Ruling • Bureau of Internal Revenue (BIR) Issuances • Rulings (Unnumbered) • Feb 17, 1967
Full text
February 17, 1967 The Municipal Council Municipality of Buhi Province of Camarines Sur Gentlemen : This refers to Resolution No. 223 dated December 16, 1966 of that Council requesting the National Power Corporation to pay its contractor's percentage tax to that municipality, so that part of the payment due thereat will benefit the people living therein. In reply, I have the honor to inform you that contrary to the opinion of Mr. Jaime E. Amoroso, BIR Collection Agent stationed thereat, the payment of contractor's percentage tax to a certain municipality will not give said municipality any special benefit from the collection thereof. Under Section 362 of the Tax Code, national internal revenue collected (such as contractor's tax) shall accrue to the National Treasury and shall be available for the general purposes of the Government. cdti Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue
Ask what this means for your situation
The assistant quotes the passage it relies on and links the source, so you can check every figure it gives you.