BIR Ruling [DA-224-00]

May 5, 2000 BIR RULING [DA-224-00] 245-92; 39-93; DA-224-2000 Office of the City Administrator City of Lipa Attention: Mr . Reynaldo L . Lardizabal City Administrator Gentlemen : This refers to your letter dated April 24, 2000 requesting from the payment of income tax on the proceeds of the premiere showing of "ANAK". It is represented that on May 9, 2000, your office will be sponsoring the premiere showing of "ANAK" at the Fiesta World Mall Cinema House, City of Lipa; and that the proceeds that will be realized from the premiere showing will be wholly donated to the Vilma Santos Foundation, Inc. and Love Lipa Foundation, Inc., both non-stock, non-profit charitable organizations whose primary beneficiaries are street children and disadvantaged and marginalized women of Lipa City and their immediate families. LibLex In reply, please be informed that the proceeds to be derived by the Vilma Santos Foundation, Inc. and Love Lipa Foundation, Inc. in connection with the advance screening of the film, "ANAK" on May 9, 2000 are not subject to income and business taxes. Such income, however, should be declared in the annual information return to be filed by the said foundations on or before April 15, 2001. (BIR Ruling No. 245-92 dated September 2, 1992 and BIR Ruling No. 39-93 dated January 19, 1993) Very truly yours, Commissioner of Internal Revenue By: (SGD.) MILAGROS V. REGALADO Acting Assistant Commissioner Legal Service