Cinematographic Film Lessor Is Subject to Fixed Tax of P500.00

May 27, 1986 BIR RULING NO. 064-86 174 153-85 064-86 M a d a m : In reply to your letter (undated), please be informed that a cinematographic film lessor, like your client, Barbarilla Production, Inc., is subject to the fixed tax of P500.00 prescribed in Section 161(3)(ee) of the Tax Code, as amended, and to the 3% tax on its gross receipts, pursuant to Section 174 of the same Code. Moreover, gross payments to your client are subject to the 5% expanded withholding tax under Section 1(d) of Revenue Regulations No. 6-85 otherwise known as the Revised and Consolidated Expanded Withholding Tax Regulations implementing Section 51(f) of the Tax Code, as amended. cdt Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner