BIR Ruling

July 23, 1973 Mr. Jorge Uy 2903 Jose Abad Santos St. Tondo, Manila S i r : This refers to your letter dated July 19, 1973 requesting information as to what kind of internal revenue taxes you are liable to for engaging in the following activities: aisadc It is represented that you intend to engaged in the business of buying brand new and second hand auto parts and accessories from auto supply stores and junk yards, and second hand car part dealers and owners of such old cars and to be sold as is; and that you also intend to buy old automobiles, have them repaired in some repair shops after which the same shall be sold to buyers who could not afford to buy brand new cars. In reply, I have the honor to inform you that under the foregoing facts, you are a dealer of car parts and second hand cars. As such dealer, you are subjected to the graduated annual fixed tax prescribed by Section 182(A)(2) of the Tax Code, the initial amount of which is P10.00; thereafter, the amount of the tax will depend upon the amount of gross sales during the preceding calendar year. Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue TAN 1601-593-5