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Exemption from the 10% Overseas Tax

BIR Ruling No. 078-80 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Jun 17, 1980

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June 17, 1980 BIR RULING NO. 078-80 Philippine Oil & Geothermal Energy, Inc. Ground Floor, Kalayaan Bldg. Cor. Salcedo & de la Rosa Sts. Legaspi Village, Makati Metro Manila Attention: Mr . Augusto P . Quirino Asst . Vice Pres . Operations Gentlemen : In reply to your letter dated February 14, 1980, please be informed that since that firm is a service contractor exempt from the payment of all taxes except income tax pursuant to the provisions of P.D. No. 87, as amended, payments made by that firm on outgoing telecommunications services are exempt from the 10% overseas tax prescribed in Section 290-A of the Tax Code, as amended. (B.I.R. Ruling Nos. 036-79 and 123-79). Very truly yours, RUBEN B. ANCHETA Acting Commissioner

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