BIR Ruling No. 067-64

November 5, 1964 BIR RULING NO. 067-64 2nd Indorsement Returned to the Chief, Withholding Tax Division, thru the Revenue Operations Head (Assessment), B.I.R., Manila, the attached papers relative to the 1963 income tax case of Mr. Eulogio S. Serrano, City Fiscal of Manila, with the following information. llcd The records disclose that Mr. Serrano filed his income tax returns for 1963 stating therein that his salary as City Fiscal of Manila is exempt from income tax under Republic Act No. 3537 which provides that "there shall be in the Office of the City Fiscal one Chief to be known as the City Fiscal with the rank, salary and privileges of a Judge of the Court of First Instance. . ." (Section 1.) The issue to be resolved in this case is whether or not Republic Act No. 3537 exempts the salary of the City Fiscal of Manila from income tax. Section 9, Article VIII of the Constitution provides that the members of the Supreme Court and judges of the inferior courts "shall receive such compensation as may be fixed by law which shall not be diminished during their continuance in office." It is believed that the phrase "rank, salary and privileges of a Judge of the Court of First Instance" refers only to the position and cannot be stretched to include the privilege of non-diminution of salary which the Constitution extends to compensations of members of the judiciary. In view thereof, this Office is of the opinion and so holds that the salary of Mr. Eulogio S. Serrano as City Fiscal of Manila is subject to income tax. LibLex (SGD.) BENJAMIN N. TABIOS Acting Commissioner of Internal Revenue