BIR Ruling

July 15, 1970 The President Philippine Trust Company Manila S i r : This refers to your letter dated July 14, 1970 stating that since the employees were on strike on April 21, 1970 you derived in effect practically no income from that date to June 30, 1970. While you have income from April 1 to April 20, nevertheless you do not know the amount thereof as you have no access to the banks' premises. However, since the commencement of the strike you derived receipts amounting to P1,587.31 in the premises where the bank management is doing sort of little business with its customer. As the time for the payment of the 5% bank tax which is on July 20, 1970 is fast approaching, you are now requesting information as to whether or not it would be permissible for you to declare for the percentage tax the amount of only P1,587.31 which is the only amount that you could justify as receipts during the quarter. In reply, I have the honor to inform you that under the foregoing circumstances, you may declare for the quarter April 1 June 30, 1970 your receipts of only P1,587.31. However, as soon as the strike is terminated you are requested to declare immediately for the percentage tax your actual receipts during the quarter in question as appearing from your books and records. It is of course understood that when you effect payment of the percentage tax for the quarter in question after the strike, no surcharge shall be due and payable. aisadc Very truly yours, MISAEL P . VERA Commissioner of Internal Revenue