BIR Ruling

August 25, 1972 Mr. Juan Malonzo Rm. 11 Borgaily Building San Pedro Street Davao City S i r : This refers to your letter dated June 9, 1972 informing this Office that you intend to engage in business by purchasing edible cooking oil in large quantities from oil manufacturing firm and repacking it into small containers and reselling them to the general public, and requesting information on the taxes payable by you on account of said business. In reply, I have the honor to inform you that for engaging in business of buying edible cooking oil from the manufacturers thereof and repacking the same in small containers for resale, you are subject to the payment of graduated annual fixed tax prescribed in Section 182(A)(2) of the Tax Code, the initial payment of which is P10.00. Thereafter, the amount of tax will depend upon the amount of the gross sales during the preceding calendar year. Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue