Exemption from Donor's Tax of Donation of Vehicle Made by the US Embassy to DFA

April 23, 1999 BIR RULING NO. 056-99 Sec. 101 (A) (2), TC-000-00-056-99 Office of Personnel and Administrative Services Department of Foreign Affairs 2330 Roxas Boulevard Pasay City Attention: Ms . Ofelia B . Castano Assistant Secretary Gentlemen : This refers to your letter dated March 2, 1999 requesting a Certificate of Exemption from the payment of taxes and duties relative to the donation of a vehicle by the United States Embassy in favor of the Central Records Division of the Department of Foreign Affairs. In reply, please be informed that since the donee is a political subdivision of the Government, the aforementioned donation of a vehicle, is exempt from the payment of donor's tax pursuant to Section 101(A)(2) of the Tax Code of 1997. (BIR Ruling No. DA-379-97 dated November 12, 1997) Moreover, the aforesaid Deed of Donation is not subject to documentary stamp tax of P15.00 imposed under Section 188 of the same Code. (BIR Ruling No. DA-195-97 dated April 28, 1997 and BIR Ruling No. 108-94 dated May 30, 1994) This ruling is being issued on the basis of the foregoing facts as represented. However, if upon investigation, it will be disclosed that the facts are different, then this ruling shall be considered as null and void. Very truly yours, (SGD.) BEETHOVEN L. RUALO Commissioner of Internal Revenue