Finance Companies, Rate of Tax
BIR Ruling No. 023-73 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Aug 20, 1973
Full text
August 20, 1973 BIR RULING NO. 023-73 Finance companies, rate of tax . Under Section 249-A of the Tax Code, as amended by Presidential Decree No. 69, there shall be collected a 5% tax on the gross receipts derived by all finance companies doing business in the Philippines from interest, discounts and all other items treated as gross income under the Tax Code. The tax is, therefore, directly collectible from the finance company, which may legally pass on the same to its client or customer. However, in such case, the gross receipts subject to 5% tax consists of the total amount paid by the customer which includes the tax passed on to him.
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