BIR Ruling
BIR Ruling • Bureau of Internal Revenue (BIR) Issuances • Rulings (Unnumbered) • Apr 7, 1975
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April 7, 1975 Sycip, Gorres, Velayo & Co. Certified Public Accountants P.O. Box 589 Manila Attention: Mr . M . Gutierrez Tax Division Gentlemen : This refers to your letter dated August 23, 1974 requesting on behalf of your client, Mennen (Philippines) Inc., confirmation of your understanding that your aforesaid client's products, namely: Baby Cologne and Baby Lotion, are subject to the 7% sales tax under Section 186 of the Tax Code. In reply, I have the honor to inform you that it appearing in the Certification of the Food and Drug Administration dated June 18, 1974 that both products of your client contain topical disinfectant-methylbenzethonium chloride; that when applied, the presence of alcohol and a quaternary ammonium compound reduces surface skin bacteria by germicidal action to prevent and control diaper rash and diaper odor, they are not considered toilet preparations under Section 184(b) of the Tax Code. Such being the case, the Baby Cologne and Baby Lotion products of your client are subject to the 7% sales tax prescribed in Section 186 of the Tax Code. aisa dc Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue TAN 1601-593-5
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