BIR Ruling

December 28, 1972 Mr. Ramon L. Camboy Palapag, Northern Samar S i r : This refers to your inquiry dated November 20, 1972 requesting information on a query stated as follows: cdta "I have the honor to request information if Robert Gorgonia my grandson can be exempted in my payment of my income tax. He has been adopted by us since his birth, twelve years ago by virtue of family relationship with the verbal consent of his parents. Since then he has been staying with us and sent to school from Grade I up to the present that he is now a First Year High School student. His parents are permanently residing in Tacloban City. In reply thereto, I have the honor to inform you that pursuant to Section 23(c) of the Tax Code as amended, the taxpayer is entitled to an additional exemption of P1,000.00 only for each of his or her legitimate, recognized natural, or adopted child wholly dependent upon and living with such person provided that said dependents are not more than twenty-three years of age, unmarried and not gainfully employed or incapable of self-support because mentally or physically defective, and provided further that the person claiming additional exemption is a head of the family. An adopted child under this provision is one who is legally adopted by the taxpayer pursuant to a judicial order of a competent court declaring a person duly adopted for all intents and purposes. In view thereof since it does not appear that you have adopted your grandson by court order, you are not entitled to an additional personal exemption of P1,000.00. cdtech Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue