Tax Liability of a Public Officer or Employee

February 9, 1981 BIR RULING NO. 034-81 330-b 000-00 034-81 The Regional Director Revenue Region No. 6-B Bacolod City S i r : In reply to the queries contained in the letter dated April 15, 1980 of the Revenue District Officer of Bacolod City which was forwarded to this Office under your 1st Indorsement dated April 17, 1980, you are informed as follows: 1. Opinion No. 215 of the Secretary of Justice quoted in full in General Circular No. V-236 dated April 6, 1959, which ruled that the public officer or employee designated to make the return of the taxes withheld from salaries of government offices and employees is not liable to pay the surcharge and the interest required under Section 96 of the Tax Code, in case of late remittance of taxes withheld, has not been "repealed" or otherwise modified. However, such public officer or employee is now subject to a fine of not less than P5,000 and imprisonment of not less than one (1) year nor more than two (2) years, pursuant to Section 330 (b) of the Tax Code, as amended by P.D. No. 1705, which took effect on August 1, 1980. 2. The income of whatever kind and character of a provincial, city or municipal government from any of their real or personal properties, or from any activity conducted for profit is subject to internal revenue taxes. (Sec. 23, P.D. No. 1177). Very truly yours, RUBEN B. ANCHETA Acting Commissioner