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Exemption from Overseas Telecommunications Service Tax

BIR Ruling No. 042-79 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Jun 21, 1979

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June 21, 1979 BIR RULING NO. 042-79 Exemption from overseas telecommunications service tax In reply to your letter dated August 30, 1978, please be informed that although that Association is registered with the Securities and Exchange Commission as a multinational company and has established a regional or area headquarters in the Philippines pursuant to P.D. No. 218, as amended, it is not among those exempt from the payment of the 10% overseas communications tax prescribed in Section 290-A of the Tax Code, as inserted by P.D. No. 1457. Accordingly, payments made by that Association on out going telecommunication services are subject to the 10% overseas communications service tax prescribed in the aforesaid section of the Tax Code of 1977.

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