BIR Ruling

March 1, 1973 Mrs. Francisca T. Amoranto Court of Appeals Manila M a d a m : This refers to your letter dated January 30, 1973 requesting information as to whether or not the following expenses you incurred are deductible in your income tax return for 1972, viz: cdta 1. Customs duties and internal revenue taxes in the amount of P1,103.00 paid for a refrigerator shipped to you from abroad by your daughter as a birthday gift; 2. Travel tax in the amount of P300.00 for a round trip ticket to Japan; 3. Duties and taxes imposed on personal effects in the amount of P547.00 brought along with you from abroad. In reply thereto, I have the honor to inform you that all the foregoing expenses incurred by you are deductible under Section 30(c)(1) of the Tax Code. As a general rule, taxes paid or accrued during the year are deductible. Under Section 80 of Revenue Regulations No. 2, import duties paid to the proper customs officer and business, occupation, license, privilege, excise and stamp taxes and any other taxes of every name or nature paid to any political subdivision thereof, are deductible for income tax purposes. (BIR Ruling dated July 18, 1955, Qrty., BIR, Vol. IV, No. 3). aisa dc Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue