Firm Engaged in Promotion, Data and Statistics Gathering, Publishing and Advertising Services Subject to 4% Contractor's Tax

March 21, 1985 BIR RULING NO. 043-85 205-15 102-84 043-85 Gentlemen : In reply to your letter dated February 7, 1985, please be informed that for engaging in the business of promotion, data and statistics gathering, publishing and advertising services to any lawful organization, you are a contractor subject to the 4% contractor's tax on your gross receipts imposed under Section 205(15) of the Tax Code as amended by Presidential Decree No. 1959. Accordingly, money payments made to you by all bureaus, offices, agencies and instrumentalities of the government, including government owned or controlled corporation, provinces, cities and municipalities are subject to the withholding provisions of Republic Act No. 1051 as implemented by Revenue Regulations No. 4-83 dated March 15, 1983. Moreover, for income tax purposes, you are subject to the 3% expanded withholding tax on 15% of gross payments to you pursuant to Section 1(e)(2)(3) of Revenue Regulations No. 1378 as supplemented 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