Whether the Keeping Two Separate Books of Accounts for Two Functions Should be Allowed

February 14, 1995 BIR RULING NO. 028-95 232 000-00 028-95 RehabCare Phil. Inc. 3/F Highland Building Espaa Blvd., Sampaloc Manila Attention: Ofelia L . Reyes M . D . Gentlemen : This refers to your letter dated September 9, 1994 stating that you are a corporation duly registered with the Securities and Exchange Commission (SEC) whose primary purpose is to carry on the business of training allied health manpower while the secondary purpose is to engage in the business of recruiting trained allied health manpower for job placement abroad; that you are duly accredited and licensed by the Philippine Overseas Employment Administration (POEA) to recruit and send skilled manpower abroad; and that you are being required by POEA to keep two separate books of accounts one for the local training courses (review classes which you conduct for the Philippine Board for Physical Therapists) and the other one is for the training for the American Board of Physical Therapy and the subsequent deployment of those Filipino therapists to the United States for which you charge the foreign employer an amount enough to recover the costs of training and sending the successful applicants abroad. On the basis of the foregoing facts, you are requesting our opinion as to whether you should keep two separate books of accounts for those two abovementioned functions. In reply, please be informed that you need not to keep and use more than one set of books of accounts. The use of a set of books is a sufficient compliance with the bookkeeping regulations. prcd Very truly yours, LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue