BIR Ruling No. 001-64

January 27, 1964 BIR RULING NO. 001-64 The Information Department Philippines Free Press P. O. Box 457 Manila S i r : In attention to the letter dated November 6, 1963, of Mr. Romeo J. Alavanza, Maigo, Lanao del Norte, which you referred to this Office on November 15, 1963, I have the honor to inform you as follows: LexLib 1. Under the provisions of Section 1 of Republic Act No. 3704, which took effect on June 22, 1963, amending Sections 182 and 189 of the National Internal Revenue Code, the basis of the graduated fixed annual tax payable by operators, proprietors or owners of rice and/or corn mills is the milling capacity per machine operated by them. The term "total capacity per machine" used in the law means the number of cavanes of palay or corn which a machine is capable of milling per twelve hour operation. The amount of fixed tax payable by proprietors or operators of rice and/or corn mills consists of the sum total of the rates corresponding to each machine operated by them. Thus, a rice mill operator using two machines, one of the "kiskisan" type with milling capacity exceeding 100 cavanes and the other, "cono" type, with milling capacity not exceeding 100 cavanes shall pay a fixed tax of P75.00 for the "kiskisan" type and P200.00 for the "cono" type. 2. Notwithstanding the amendment effected by Republic Act No. 3704, operators or proprietors of rice and/or corn mill are nevertheless required to keep the books and records and issue the receipts and invoices prescribed by Sections 9, 10 and 11 of Regulations No. 7, otherwise known as the Rice and Corn Mills Regulations. As requested, there is returned herewith the basic inquiry. Very truly yours, (SGD.) BENJAMIN N. TABIOS Acting Commissioner of Internal Revenue