BIR Ruling No. 095-65

August 20, 1965 BIR RULING NO. 095-65 Miss Rosie Falcon Tria 1447 San Antonio St. Paco, Manila M a d a m : This has reference to your letter dated April 26, 1965, stating that a person owns more or less ten (10) hectares of developed land planted with nipa palm; that the owner employed workers to cut the leaves of the nipa palm and make it into nipa shingles; and that the produced nipa shingles are subsequently sold by the owner to dealers of paid products. Based on said facts, you now request a ruling as to what kind of taxes said person is liable. In answer thereto, I have the honor to inform you that a person making nipa leaves into shingles is considered a manufacturer pursuant to section 194(x) of the Tax Code. Accordingly, he is subject to the annual fixed tax of P20.00 and percentage tax equivalent to 7% of the gross selling price or gross value in money of the articles he manufactures as prescribed by sections 182(A)(1) and 186, respectively, of the same Code. casia Very truly yours, (SGD.) BENJAMIN N. TABIOS Acting Commissioner of Internal Revenue