BIR Ruling

February 18, 1970 Mr. Nicanor E. Silvano Deputy Clerk of Court Court of First Instance Manila S i r : This refers to your letter dated January 20, 1970 requesting that your payment of the occupation tax be held in abeyance pending receipt of the opinion of the Secretary of Justice requested by you as to whether or not a lawyer holding a regular appointment as deputy clerk of court in the Court of First Instance in Manila should be made to pay the occupation tax. In reply, I have the honor to inform you that your request cannot be granted since this Office is not authorized by law to extend the time for payment of fixed taxes, like the occupation tax. Under Section 180 of the Tax Code, as amended by Republic Act No. 6110, all fixed taxes shall be payable, at the option of the taxpayer, annually, on or before the twentieth of January or semi-annually, on or before the twentieth of January and July. But any person first beginning a business or occupation must pay the tax before engaging therein. Said section also provides that if the privilege tax is not paid within the time specified, the amount of tax shall be increased by twenty-five per centum , the increment to be part of the tax. In this connection, it may be stated that a deputy clerk of court uses or exercises the knowledge of his profession in his employment, hence, he is subject to the occupation tax imposed in Section 182(B) of the Tax Code, as amended by Republic Act No. 6110. Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue