BIR Ruling No. 010-65

April 12, 1965 BIR RULING NO. 010-65 The Far Eat Molasses Corporation 310 Poenix Building, Intramuros M a n i l a Attention : Mr . C . Y . Simon Gentlemen : Reference is made to your letter dated July 24, 1963 requesting opinion based on the following facts: cdll "The Far East Corporation is a domestic corporation duly organized and registered with the Securities and Exchange Commission. At present it is engaged only in the exportation of molasses which is being loaded in tankers at different loading points in Iloilo and Negros Occidental. The corporation is at present the holder of Privilege Tax Receipt C-14 (as exporter), per Revenue Official Receipt Serial No. C-0824090, a photostatic copy of which is hereto attached. "The Provincial Revenue Officer in Iloilo is presently requiring the corporation to pay Privilege Tax C-13 (local sales), inspite of the fact that it had already acquired and presently in possession of PTC-14. As the corporation does not sell molasses locally, we believe that we are only subject to the Privilege Tax C-14. We are, therefore, requesting your official opinion on this query, that is, whether or not we are subject both to Privilege Tax C-14 and C-13." In answer thereto, I have the honor to inform you that, if that corporation is itself the producer or manufacturer of the molasses it exports, it is subject only to the privilege tax under schedule and paragraph number C-14. However, if the corporation is only purchasing the molasses it exports from the producers or manufacturers thereof, it is subject to the graduated fixed tax (C-13) as dealer of locally purchased molasses. Very truly yours, (SGD.) BENJAMIN N. TABIOS Acting Commissioner of Internal Revenue