BIR Ruling

July 27, 1966 The City Treasurer City of Bacolod S i r : This refers to your letter dated March 3, 1966 requesting the BIR Collection Agent, that city, to collect the artesian wells fee of P0.10 imposed under Section 3 of Republic Act No. 1294 which was referred to this Office for appropriate action. prll In reply, I have the honor to inform you that effective July 1, 1960 Collection Agents and Collection Clerks of this Bureau were authorized under Republic Act No. 2655 to collect internal revenue taxes, fees and charges. Although Section 3 of Republic Act No. 1294, which took effect on June 15, 1955 authorized the treasurer of any city, municipality or municipal district which has artesian wells to collect a fee of ten centavos (P0.10) from every person required to pay the residence certificate A or who pays such certificate, such fee is in itself a separate and distinct fee constituting the Artesian Wells Special Fund to be used exclusively for the expenses of the city, municipality or municipal district for materials and supplies needed for the repair or replacement of artisan wells within its territorial jurisdiction. Inasmuch as the same is not an internal revenue fee, the collection thereof remained the responsibility of the city, municipal or municipal district treasurer, as the case may be, upon the effectivity of Republic Act No. 2655. cdta Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue