BIR Ruling [DA-200-97]

May 9, 1997 BIR RULING [DA-200-97] Laya Mananghaya Salgado & Co. 3/F Chemphil Building 851 Arnaiz Avenue, Legaspi Village Makati City Attention: Atty . Mariano C . Ereso, Jr . Tax Principal Gentlemen : This refers to your letter requesting authority on behalf of your client, Hardie Jardine, Inc. (HJI) to change its accounting period from calendar year basis ending December 31 to fiscal year basis ending 31 March for purposes of filing its annual income tax returns. It appears that Hardie Jardine, Inc. was incorporated on 23 November 1995. For the year 1995, HJI did not have any transactions as it was not yet operational. For the year 1996, HJI whose accounting period was on a calendar year basis, opened its books on January 01 and closed the same on December 31. The change in their accounting period is prompted by the desire of HJI to synchronize its reporting period with its parent company, whose accounting period ends on 31 March of each year. In rely, please be informed that your request is hereby granted pursuant to Section 40 of the Tax Code, as amended, as implemented by Section 172 of the Income Tax Regulations. However, a separate final or adjustment return covering your operation for the period January 1, 1997 to March 31, 1997 should be filed with the Revenue District Office concerned on or before July 15, 1997 and the tax due thereon paid at the time of filing. Thereafter, your annual income tax return covering the twelve (12) month period from April 1, 1997 to March 31 of the following year should be filed on or before July 15 following the close of such fiscal year and the tax due thereon paid at the time of filing. In filing the quarterly corporate income tax returns, the requirements of Sections 45, 68, 69 and 70 of the Tax Code, as amended, should be complied with. A copy of this letter should be attached to the separate final or adjustment income tax return to be filed by you. (BIR Ruling No. 118-95 dated July 7, 1995) aisadc Very truly yours, SIXTO S. ESQUIVIAS IV OIC, Assistant Commissioner (Legal Service)