Cash Price Construed

November 2, 1966 BIR RULING NO. 053-66 Sycip, Gorres, Velayo & Co. P.O. Box 589 M a n i l a Attention : Mr . Gutierrez Tax Department Gentlemen : This refers to your letter dated March 14, 1966, requesting information on whether or not BIR Ruling No. 65-112, dated September 29, 1965, pertinent portion of which states that ". . . the cash price shall be used as basis for the sales tax even in cases of sales on the spot" applies also to a cash sale, and not only to a sale on installment term of at least 12 months. In reply, I have the honor to inform you that the "cash price" used in the aforequoted ruling applies to a cash sale , sale on spot cash , and even to a sale on installment of less than 12 months , for cash price as defined by the law is" the price at which an article is offered for sale on cash term to the public without any discount and/or rebate whatsoever during the period". aisadc Very truly yours, (SGD.) MISAEL P. VERA Commissioner of Internal Revenue