10% Compensating Tax — Imported Eudyna Cream
BIR Ruling No. 035-81 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Feb 13, 1981
Full text
February 13, 1981 BIR RULING NO. 035-81 199-a 000-00 035-81 Ciba-Geigy (Phil.), Inc. MCC P.O. Box 990 Makati, Metro Manila Attention: Mr . A . F . Cabrera Gentlemen : This refers to your letter dated October 17, 1980 requesting a ruling on the rate of tax to be imposed on your imported Eudyna Cream. cdti It is represented that the aforesaid product is manufactured by Nordmark-Werke GMBH, Hamburg, Germany; that it is imported for free distribution among members of the medical profession and not for sale, barter or exchange. The literatures submitted by you as well as the analysis made by this Office reveal that said products are intended for treatment of various forms of acne. Accordingly, said product is a medicinal ointment and not a cosmetic; hence, it is subject to the 10% compensating tax, pursuant to Section 204 in relation to Section 199(a) both of the Tax Code, as amended. If said product is sold, bartered or exchanged, the same shall be subject to the advance sales tax. Very truly yours, RUBEN B. ANCHETA Acting Commissioner
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