Importation of Ammonia Compressors and Spare Parts to be Used in Industrial Ice Plants Subject to 10% Advance Sales Tax
BIR Ruling No. 098-80 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Jul 16, 1980
Full text
July 16, 1980 BIR RULING NO. 098-80 Pacific Star, Inc. 1033-1035 R. Hidalgo St. M a n i l a Attention: Mr . Ambrosio P . Cantada President Gentlemen : This refers to your letter dated April 25, 1980 requesting confirmation that your importations of ammonia compressors and spare parts for use in industrial ice plants are subject only to the 10% advance sales tax. In reply, please be informed that as represented your importation of ammonia compressors and spare parts which are to be used in industrial ice plants are subject to the 10% advance sales tax based on the landed cost thereof plus 25% mark-up pursuant to Section 193 (b) in relation to Section 199 of the National Internal Revenue Code, as amended. However, if said compressors and spare parts will be used for household refrigerators and airconditioning units, the same are subject to the 25% sales tax under Section 196 or 197 of the same Code. This ruling is subject to verification. The same will be revoked if, after verification, the facts are not as represented. Very truly yours, RUBEN B. ANCHETA Acting Commissioner
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