BIR Ruling

October 3, 1967 The Assistant Director BIR Revenue Region No. 13 Cebu City S i r : This refers to your telegram dated August 23, 1967 requesting clarification on the limitation imposed under Section 46 of the Revised Election Code, as amended by R.A. No. 4918, that the holding of balls, lottery, beauty contests, entertainments or cinematographic or theatrical, or other performances during one hundred twenty days immediately preceding a regular or special election are prohibited. LexLib In reply, you are informed that as expressed by COMELEC Chairman Juan V. Borra in his letter to Fr. Francisco Araneta dated September 1, 1967, the following are not covered by the ban: 1. All fund raisings authorized by laws like the Sweepstake Law, which in many cases has already included lotteries; 2. All fund raisings authorized by proclamations of the President, such as on Anti-TB, Red Cross, Community Chests, etc.; 3. All performances not mentioned in the law, whether they involve benefits or not; 4. All benefits not made through the prohibited performances; 5. All benefits distributed or for distribution outside the prohibited period. From the foregoing, it can be seen that benefit shows or performances which are granted exemption from the payment of the amusement tax but which are not covered by the ban continue to enjoy the said tax exemption when held during the prohibited period. Be guided accordingly. Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue