BIR Ruling

April 30, 1973 Mrs. Crispina Barbado Unido Jimenez, Misamis Occidental M a d a m : This refers to your letter dated December 17, 1972 to the First Lady, Mrs. Imelda R. Marcos as well as the letter dated December 12, 1972 of your husband, Mr. Felipe B. Unido, to President Ferdinand E. Marcos, which were referred to this Office for appropriate action. In said letters you requested exemption from the payment of the taxes due from you as an operator of a barbershop on the ground that the income is not enough to supply the needs of the eight (8) members of your family; that you have no land of your own; that your debts at the store is sometimes in advance; and that at times you eat only once a day when no one will have their hair cut in your barbershop. In reply thereto, I regret to inform you that your request cannot be granted for lack of legal basis. Proprietors or operators of barbershops are subject to the P50.00 annual fixed tax prescribed in Section 182(A)(1) of the Tax Code, and to the 3% tax on their gross receipts pursuant to Section 191 of the same Code. This is irrespective of the size of the barbershop or amount of income derived therefrom. cdtech Very truly yours, CONRADO P. DIAZ Acting Commissioner of Internal Revenue