BIR Ruling

November 19, 1970 Rural Bankers Association of the Philippines Aduana Street, Intramuros Manila Attention: Mr . Saturnino A . Abesamis President Gentlemen : This refers to your letter dated October 5, 1970, relative to the letter dated September 28, 1970 of Mr. Ernesto A. Diomampo, Officer-In-charge of the Rural Bank of Baguio, Inc., Baguio City, requesting opinion as to whether or not current account depositors of rural banks are exempt from the payment of documentary and science stamps on their checks. In reply, I have the honor to inform you that while rural banks are exempt from the payment of all taxes, their depositors are subject to the payment of documentary and science stamp taxes on checks issued and deposited by them. Pursuant to Section 210 in relation to Section 216, both of the Tax Code, the documentary stamp taxes shall be payable either by the maker, signer, issuer or acceptor of the check. cdta Very truly yours, CONRADO P. DIAZ Acting Commissioner of Internal Revenue