BIR Ruling

August 23, 1975 Mr. Nemesio D. Caparas Ozamis City S i r : This refers to your letter to the Revenue Director, Revenue Region No. 10-A, Cagayan de Oro City, requesting the answer to the following queries: cdta "1. Could unregistered stabs of official receipts of a business firm furnished by the principal to its agent be a subject for accounting between the parties for all legal purposes? These several stabs of official receipts had not been registered with the Bureau of Internal Revenue in accordance with the law. "2. Who is criminally liable, if there be any against the government under the provisions of the National Internal Revenue Code, the principal or the Agent? "3. In the event one party, principal or agent has a claim against the other occasioned by series of transactions out of issuance of such unregistered official receipts, could one party for the purpose of the Code, recover against the other for any amount involved therein thru Judicial Proceedings? "4. If the principal files estafa case against the agent out of the issuance of such unregistered official receipts, will such unregistered official receipts be used as evidence against each other? In reply, I have the honor to inform you that a person who uses receipts that have not been registered with this Bureau prior to the use thereof violates the provisions of Section 19 of Revenue Regulations No. V-1, otherwise known as the Bookkeeping Regulations, punishable under Section 25 thereof by a fine of not more than P300.00 or by imprisonment of not more than six months, or both. As regards the evidentiary character of the unregistered receipts between the parties for accounting purposes, please be advised that this Office is not in a position to advance an opinion thereon. 2. It appearing in your representation that it was the principal who furnished the agent with the unregistered receipts, then it follows that he (the principal) is liable for the violation of the penal provisions of Revenue Regulations No. V-1. 3. It is regretted that the answers to queries No. 3 and 4 could not be given for the reason that the answers thereto do not involve revenue matters. Very truly yours, (SGD.) CONRADO P. DIAZ Actg . Commissioner of Internal Revenue TAN-1182-508-4