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Gross Payments to Transportation Contractor Subject to 1% Expanded Withholding Tax

BIR Ruling No. 048-86 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Apr 22, 1986

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April 22, 1986 BIR RULING NO. 048-86 51 (f) 000-00 048-86 Gentlemen : This refers to your letter dated March 5, 1986 requesting a ruling as to whether you are subject to the 1% expanded withholding tax on income payments received by you as a common carrier. In reply, please be informed that under Section 1(e)(2)(e) of Revenue Regulations No. 6-85, as amended by Revenue Regulations No. 8-85, otherwise known as the Revised and Consolidated Expanded Withholding Tax Regulations, implementing Section 51(f) of the Tax Code, gross payments to you as transportation contractor beginning July 1, 1985, provided that the freight for a particular shipment is P5,000.00 or more, are subject to the expanded withholding tax of 1%. aisadc Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner

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