BIR Ruling No. 032-83

March 1, 1983 BIR RULING NO. 032-83 Gentlemen : In reply to your letter dated December 17, 1982, please be informed that from your partnership agreement, the purpose of the partnership is to engage in the practice of the law profession; that the capital is less than P3,000.00 and that no immovable property or real rights are contributed thereto. Such being the case, you have formed a professional partnership which is exempt from income tax pursuant to Section 20(b) in relation to Section 24(a), both of the Tax Code, as amended. Accordingly, retainer fees paid to your partnership for professional services rendered by you are exempt from the withholding tax provisions of Revenue Regulations No. 13-78, as amended by Revenue regulations No. 6-79 implementing Section 53(f) of the Tax Code, as amended by Presidential Decree No. 1351. Very truly yours, (SGD.) RUBEN B. ANCHETA Acting Commissioner Bureau of Internal Revenue