BIR Ruling

March 19, 1969 The Commissioner Agricultural Productivity Commission Diliman, Quezon City S i r : This refers to your letter dated March 17, 1969 asking a series of questions on the requirements of Administrative Order No. 66 dated June 26, 1967 of the President of the Philippines. aisadc In reply, I have the honor to inform you as follows: A tax clearance certificate is good and efficacious only for 30 days from the date of issue thereof, extendible for another 30 days upon application. Accordingly, for purposes of Administrative Order No. 66, the tax clearance certificate must bear a date not earlier than 30 days from the date of bidding. Insofar as this requirement is concerned, the original thereof must be presented. A certified copy is not necessary as the date of the certificate speaks for its efficacy. A BIR Letter of Confirmation (Form No. 19.65-E-1) is issued only after investigation. Hence the date thereof is not determinative of its efficacy. It is for this reason that a certified copy of the latest of such letter is required for purposes of the Administrative Order. Whether or not a certified copy of such letter is considered as the latest may be ascertained from the date of the certification of this Office thereof. For purposes of the Administrative Order this Office suggests that the date of certification should not be earlier than 30 days from the date of bidding. No other forms should be accepted other than 19.65-E-1 and 19.61 for Letter of Confirmation and Tax Clearance Certificate, respectively. The requirements of tax clearance and letter of confirmation are mandatory and one will not suffice without the other. BIR Form No. 19.65 will not substitute for BIR Letter of Confirmation (Form No. 19.65-E-1). When a taxpayer has a pending internal revenue case, civil and/or criminal, the tax clearance certificate invariably indicates on its face such fact. In such cases, the bidder, in order to qualify, must submit a certification from the Secretary of Finance that such cases are pending and not decided without fault on the part of the taxpayer and file a surety bond to answer for the taxes that may be assessed against him. Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue