BIR Ruling [DA-043-96]

January 29, 1996 BIR RULING [DA-043-96] MEMORANDUM FOR : The Revenue District Officer Revenue District Office No. 52 Region 8, Makati City In connection with BIR Ruling No. UN-330-95 dated October 2, 1995 issued in favor of Mr. Vicente Santos with residence at 300 Mango Drive, Ayala Alabang Village, Muntinlupa, Metro Manila, please be informed that in BIR Ruling No. 139-93 dated April 23, 1993 this Office ruled that the imposition of the 5% capital gains tax prescribed under Section 21(e) of the Tax Code, as amended as well as the creditable withholding tax prescribed under Revenue Regulations Nos. 12-89 and 1-90 based on "the recorded selling price of other properties in the same area already filed in the Revenue District Office" (Revenue Region No. 7, Central Visayas, Cebu City) has no legal basis and is therefore of no legal force and effect. Accordingly, since both BIR Rulings has the same issue, it is believed that BIR Ruling No. UN-330-95 should be honored and enforced as ruled. cdtech ALICIA P. CLEMENO Assistant Commissioner (Legal Service) By: ALICIA L. TOMACRUZ Head Revenue Executive Assistant (Legal Service)