BIR Ruling

January 13, 1967 Mr. Roberto Aguilar c/o Suite 205, Goodrich Bldg. Cebu City S i r : This refers to your letter dated October 6, 1966 stated as follows: "May a registered professional Mechanical Engineer, who is employed as a foreman or performing a job which does not call for a licensed professional Mechanical Engineer be compelled to pay occupation or privilege tax under Sec. 182(B)(1) of the BIR Code?" In reply, I have the honor to inform you that a registered Professional Mechanical Engineer is subject to an annual occupation tax of P75.00 pursuant to Section 182(B)(1) of the Tax Code as amended by Republic Act No. 4574. However, a registered professional Mechanical Engineer performing duties which does not constitute the practice of mechanical engineering may not be liable to the said tax for it is the essence of the professional tax to tax the professional act and not the mere fact of being a professional. cdtech Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue