Request for Exemption from Payment of Ad Valorem Tax on Fuel Oil Used in the Refining Process

April 19, 1985 BIR RULING NO. 059-85 153-00 000-00 059-85 Gentlemen : This refers to your letter dated February 19, 1985 requesting exemption from the payment of the ad valorem tax on the fuel oil used by you in the refining process. In reply, I regret to inform you that your request cannot be granted for lack of legal basis. Pursuant to Section 3 of Presidential Decree No. 1956 which took effect on October 15, 1984, the ad valorem tax shall be paid by the manufacturer, producer, owner, or person having possession or importer, at the same time, in the same manner and subject to the same penalties, as the specific tax prescribed under P.D. No. 1158, as amended. Accordingly, since you are subject to specific tax on the fuel oil used in the refining process, you are subject to the payment of the ad valorem tax imposed by said P.D. No. 1956. Very truly yours, (SGD.) TOMAS C. TOLEDO Acting Commissioner