BIR Ruling No. 015-61

January 6, 1961 BIR RULING NO. 015-61 Reference is made to your letter . . ., requesting opinion whether or not the billing of the sales tax as a separate item in the manner illustrated in the sample invoice attached thereto and reproduced below is a substantial compliance with General Circulars Nos. 431 and 440. Selling Price P185.00 Tax 10.00 Total P195.00 You also request that you be informed of the latest internal revenue ruling on the matter. In answer thereto, I have the honor to inform you that the above manner of billing the sales tax as a separate item in the invoice would conform to the spirit and letter of the aforesaid circulars if the rate of the tax is properly indicated therein and the amount of the tax appearing therein is the correct amount due when the difference between the selling price and the total cost of deductible raw materials is multiplied by the applicable rate of sales tax, which in the illustration given is 7%. The latest ruling on the matter is B.I.R. Ruling No. 257, as modified by B.I.R. Ruling No. 339, both series of 1960. cdphil