BIR Ruling [DA-007-00]

January 5, 2000 BIR RULING [DA-007-00] Flora A . Yllagan High School Malakas St., Pinyahan, Quezon City Attention: Ms . Angelita G . Regis Head Teacher In-Charge Gentlemen : This refers to your letter dated September 15, 1999 requesting for certified true copies of the Income Tax Returns of Mr . Demetrio R . Soliven for the fiscal years 1997 and 1998. Your request has stemmed from the fact that Mr. Soliven's BIR Form No. 1902 (Revised May 1997) which was received by BIR Revenue Region No. 7 on September 18, 1997, shows that he is married however, his school records, specifically, his Health Examination Records filed on February 23, 1998, shows that he is single. In reply, please be informed that Section 270 of the Tax Code of 1997, provides: "SEC. 270. Unlawful Divulgence of Trade Secrets . Except as provided in Section 71 of this Code and Section 26 of Republic Act No. 6388, any officer or employee of the Bureau of Internal Revenue who divulges to any person or makes known in any other manner than may be provided by law information regarding the business, income, or estate of any taxpayer, the secrets, operation, style or work, or apparatus of any manufacturer or producer, or confidential information regarding the business of any taxpayer, knowledge of which was acquired by him in the discharge of his official duties, shall, upon conviction for each act or omission, be punished by a fine of not less than Fifty thousand pesos (P50,000) but not more than One hundred thousand pesos (P100,000), or suffer imprisonment of not less than two (2) years but not more than five years or both. In Opinion No. 72, Series of 1991, the Secretary of Justice opined that individual income tax returns under the first paragraph of the aforequoted Section "shall constitute public records and be open to inspection as such upon the order of the President of the Philippines under rules and regulations to be prescribed . . . by the Secretary of Finance". The existing rules on inspection of such returns provide that such inspection is allowed only to (a) BIR officials and employees whose official duties require such inspection; (b) the person who made the return, or his duly constituted attorney-in-fact (c) the administrator executor or trustee of the taxpayer's estate or the duly constituted attorney-in-fact of such administrator, executor, or trustee, where the maker of the return has died; and (d) in the discretion of the Commissioner of Internal Revenue, one of the heirs of law or next of kin of such deceased person upon showing that he has a material interest which will be affected by the information contained in the return. Based on the foregoing, we regret to inform you that we cannot grant your request in view of the prohibition under Section 270 of the Tax Code of 1997. (BIR Ruling Nos. DA-1-98 dated January 6, 1998; DA408-99 dated July 13, 1999) Very truly yours, (SGD.) BEETHOVEN L. RUALO Commissioner of Internal Revenue