BIR Ruling [DA-615-99]

November 3, 1999 BIR RULING [DA-615-99] Atty. Beverly Siagan-Milo Chief, Assessment Division Revenue Region No. 02 No. 69 Leonard Wood Road Baguio City M a d a m : This refers to your letter dated May 14, 1999 requesting information as to whether or not the hereinbelow quoted provisions of Revenue Regulations No. 7-95 still subsists, viz : "SEC. 4.112-2. Transactions exempt from VAT and from percentage tax . Any individual engaged in business or businesses where the aggregate gross sales or receipts do not exceed P100,000.00 during any 12 month period shall be exempt from tax payment of VAT and from any percentage tax imposed under the NIRC. In reply, please be informed that Revenue Regulations No. 6-97 which implemented R.A. No. 8241 and further amending Revenue Regulations No. 7-95 does not contain any provision expressly or impliedly repealing the aforequoted provisions. Thus, the aforementioned provision may still be invoked by the taxpayer alleging to be a subsistence taxpayer. Anent the second issue, the jeepney/taxi operators whose gross receipts do not exceed P100,000.00, shall be exempt from the payment of VAT and from any percentage tax imposed under the NIRC. Very truly yours, Commissioner of Internal Revenue By: (SGD.) SIXTO S. ESQUIVIAS IV Deputy Commissioner Legal and Enforcement Group