Banks Branch Offices

1970 BIR RULING NO. 019-70 Banks Branch Offices Under Section 178 of the Tax Code the tax on business is payable for every separate and distinct establishment or place where business subject to tax is conducted. This provision contemplates a case where a person, firm or company who or which, although engaged in only one particular class of business, nevertheless, maintains two or more separate and distinct branches or establishments for the operation of said business, in which case, the fixed tax is imposed upon every separate and distinct branch or establishment where the business subject to tax is conducted. Thus, every branch of a bank is a separate or distinct establishment or place where business is conducted. Therefore, every branch is subject to the annual fixed tax of P500.00 prescribed by Section 182(A)(3)(gg) of the Tax Code, as amended by Republic Act No. 6110. cdt