BIR Ruling

March 10, 1970 The Regional Director Revenue Region No. 16 Butuan City S i r : With reference to your 2nd Indorsement to this Office dated December 15, 1969, requesting information on whether or not the Collection Agent of Butuan City shall effect the collection of the wood conservation fee, please be informed that pursuant to Section 21 of Republic Act No. 5526 which took effect on June 21, 1969, duly published in Rev. Memorandum Circular No. 23-69 dated October 29, 1969, and which is hereinbelow quoted for ready reference "SEC. 21. FORPRIDE Fund . To insure the continuous and efficient operation of the "FORPRIDECOM", a Forest Products Research and Industries Development Fund, a special fund to be known as "FORPRIDE FUND", is hereby created upon approval of this Act. Source of this Fund shall be in the form of fees as authorized by law for the "FORPRIDECOM". "A wood-conservation fee" shall be collected, in addition to the regular forest charges and/or competitive bidding sales provided for under the National Internal Revenue Code, as amended, and those provided for under Republic Act Numbered One hundred fifteen, as amended, and Republic Act Numbered Three thousand five hundred twenty-three, the amount of twenty-five centavos on each cubic meter of timber removed from any public forest, forest reserve and national park for commercial purposes, which shall be collected in the same manner and with the same remedies provided for in the National Internal Revenue Code, as amended, with respect to forest charges' and/or competitive bidding sales, and with the same penalties provided for in Republic Act Numbered One Hundred fifteen, as amended, and Republic Act Numbered Three thousand five hundred twenty-three, and which shall be turned over to the "FORPRIDECOM" at the end of the fiscal year beginning with the fiscal year on approval of this Act. xxx xxx xxx Approved, August 4, 1969." the duty of collecting the "wood-conservation fee" is charged to the BIR. Hence, the Collection Agent of Butuan City should collect the said fee in the same manner and using the same remedies provided for in the Tax Code, as amended, with respect to forest charges. Collection of the "wood-conservation fee" must however be made separately, using for the purpose, BIR Form No. 25-24. Be guided accordingly. Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue