BIR Ruling

April 7, 1970 U. P. Writers Club & U. P. Humanists Society University of the Philippines Quezon City Attention: Mesdames Maria Lorena Barros & Maria Rita Pilapil For the U . P . Writers Club & U. P . Humanists Society, respectively Gentlemen : This refers to your letter dated April 1, 1970 requesting exemption from the payment of amusement tax on the proceeds from the benefit shows featuring "Dr. Faustus" and "April Fools" to be shown at the Scala Theater on May 26-27, 1970, which will be sponsored by the U. P. Writers Club, in cooperation with the U. P. Humanists Society. It is alleged that said benefit shows will raise funds for struggling young writers in the country, especially those writing in the vernacular who are hampered in their artistic development by the lack of serious publication. In reply, I regret to inform you that your request cannot be granted for lack of legal basis. Under Section 261 of the Tax Code, the exemption of 50% amusement taxes imposed in Section 260 of the same Code, as amended by Republic Act. No. 6110, is granted only to duly registered charitable institutions or associations. Inasmuch as the U. P. Writers Club in cooperation with the U. P. Humanists Society, is not a duly registered charitable institution or association, the same is subject to the payment of the amusement tax on the admission fees to the aforesaid benefit show. casia Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue