BIR Ruling [DA-202-97]

May 14, 1997 BIR RULING [DA-202-97] 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 dated April 16, 1997 requesting authority to change your accounting period from calendar year basis ending December 31 to fiscal year basis ending September 30 for purposes of filing your annual income tax returns. It appears that for the last three (3) years, the books of accounts of your firm were opened and closed on the following dates: Year Date books were opened Date books were closed 1994 01 January 31 December 1995 01 January 31 December 1996 01 January 31 December that the firm's taxable year began on 01 January and ended on 31 December of each year; and that the change in the firm's accounting period is prompted by its desire to coincide with its natural business cycle. In reply, please be informed that your request is hereby granted pursuant to Section 40 of the Tax Code, as amended. However, a separate final or adjustment return covering your operation for the period January 1, 1997 to September 30, 1997 should be filed with the Revenue District Office concerned on or before January 15, 1998 and the tax due thereon paid at the time of filing. Thereafter, your annual income tax return covering the twelve (12) month period from October 1 to September 30 of the following year should be filed on or before January 15 following the close of such fiscal year and the tax due 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) cdta Very truly yours, SIXTO S. ESQUIVIAS IV OIC, Assistant Commissioner (Legal Service)