Taxability of the Importation of Toluene

February 15, 1989 BIR RULING NO. 024-89 101 (a); 145 (4) 180-82 024-89 Gentlemen : This refers to your letter dated January 26, 1989, in effect, requesting a ruling on the taxability of your importation of Toluene which arrived in Batangas Port on January 6, 1989. cdtech In reply, please be informed that Toluene has been classified as solvent under BIR Ruling No. 153-f-000-00-180-82. Accordingly, your importation thereof is subject to 10% value-added tax based on the total value used by the Bureau of Customs in determining tariff and customs duties, plus customs duties and other charges, such tax to be paid by you as importer thereof prior to the release of such article from customs custody pursuant to Section 101(a) of the Tax Code, as amended by Executive Order No. 273. Toluene is, however, exempt from excise tax under Section 145 of the same Code. This serves as your authority for the release of your shipment of about 497.751 of M/T Toluene after payment of the 10% value-added tax. cdt Very truly yours, (SGD.) JOSE U. ONG Commissioner