BIR Ruling [DA-167-96]

May 10, 1996 BIR RULING [DA-167-96] 1st Indorsement May 7, 1996 Referred to the Manila International Container Port, Attn.: One-Stop Processing Center, Port Area, Manila, the entire papers relative to the request for ATRIGS by Tropical Automotive Corporation, with business and office address at 3904 Quingua Street, 1213 Makati City, in connection with its importation of the following: One (1) unit Vehicle Renault Traffic Microbus Long Wheel Base Standard Roof (11 seater capacity) 2.165cc "T1100/T2BE" color Red 719, SGS/IAN# 18.012.006179 Applying the criteria used in the Harmonized System Code of the Tariff and Customs Code,more particularly Heading No. 87.02 (p. 441), the above-described importation is a public-transport type passenger motor vehicle, as the latter is defined in page 440 of the same Code, stating "3. For purposes of heading No. 87.02, the expression 'public transport type passenger motor vehicle' means vehicles designed for the transport of two persons or more (including the driver)." Pursuant to BIR Ruling No. 75-89 dated April 14, 1989 and in consonance with Revenue Memorandum Order No. 14-95 dated March 24, 1995, which prescribed a seating capacity of ten (10) passengers or more including the driver as the criteria for the exemption from the imposition of the Ad-Valorem Tax, the above-described imported utility vehicle is not subject to Ad-Valorem Tax under Section 149 of the Tax Code, as amended. SIcEHC This serves as your authority to cause the release of the aforesaid vehicle without the payment of Ad-Valorem Tax subject to the above provision. (SGD.) BEETHOVEN L. RUALO Deputy Commissioner for Operations