BIR Ruling

March 2, 1970 Mr. Marcelo L. Tan c/o Fame, Incorporated Mac Arthur Park, J.M. Basa Street Iloilo City S i r : In reply to your letter dated January 12, 1970, I have the honor to inform you that pursuant to Section 260 of the Tax Code, as amended by Republic Act No. 6110, the pertinent portion of which is quoted hereunder as follows: "Sec. 260 Amusement taxes . There shall be collected from the proprietor, lessee, or operator of theaters, cinematographs, concert halls, circuses and other places of amusement the following rates: cdta "(a) When the amount paid for admission is one peso or less, twenty percent; "(b) When the amount paid for admission exceeds one peso, thirty percent." ". . . : Provided , that no local government shall impose any tax in excess of five percentum : Provided , further , That all laws and ordinances in contravention hereto are repealed." the determination of the rates of amusement tax is based on the amount paid for admission exclusive of the tax (national, city or municipal) if indicated on the face of the admission ticket. (Memorandum of Commissioner of Internal Revenue dated January 12, 1970). Such being the case, the national and municipal taxes due on the admission prices listed in your letter are as follows: ADMISSION PRICE AMUSEMENT TAX AMUSEMENT TAX (Tax Included) (National Government) (Municipal Government) P0.20 P0.04 P0.01 .25 .05 .0125 .30 .06 .015 .35 .07 .0175 .40 .08 .02 .45 .09 .0225 .50 .10 .025 .55 .11 .0275 .60 .12 .03 .65 .13 .0325 .70 .14 .035 .75 .15 .0375 .80 .16 .04 .85 .17 .0425 .90 .18 .045 .95 .19 .0475 1.00 .20 .05 1.05 .315 .0525 1.10 .33 .055 1.15 .345 .0575 1.20 .36 .06 1.25 .375 .0625 1.30 .39 .065 1.35 .405 .065 1.40 .42 .07 1.45 .435 .0725 1.50 .45 .075 1.55 .465 .0775 1.60 .48 .08 1.65 .495 .0825 1.70 .51 .085 1.75 .525 .0875 1.80 .54 .09 1.85 .546 .0925 1.90 .57 .095 1.95 .585 .0975 2.00 .60 .10 2.05 .615 .1025 2.10 .63 .105 2.15 .645 .1075 2.20 .66 .11 2.25 .675 .1125 2.30 .69 .115 2.35 .705 .1175 2.40 .72 .12 2.45 .735 .1225 2.50 .75 .125 2.55 .765 .1275 2.60 .78 .13 2.65 .795 .1325 2.70 .81 .135 2.75 .825 .1375 2.80 .84 .14 2.85 .855 .1425 2.90 0.87 .145 2.95 .885 .1475 3.00 .90 .15 Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue