BIR Ruling No. 110-84

June 21, 1984 BIR RULING NO. 110-84 153-00-000-00-110-84 Gentlemen : This refers to your letter dated May 23, 1984 requesting confirmation of your opinion that the effectivity date of P.D. No. 1917 prescribing increase of specific tax rates on manufactured oil and other fuels is co-terminus with the Board of Energy Price Increase Order. In reply, your query is answered in the negative. P.D. No. 1917 was passed on April 10, 1984 providing for its own effectivity date on May 17, 1984 and increasing the specific tax rates of petroleum products. On the other hand, the Board of Energy, approving an earlier application for increase in the prices of petroleum products by Caltex (Phil.), Inc., Pilipinas Shell Petroleum Corporation and the Petrophil Corporation issued an Order effective 12:01 A.M. of May 18, 1984, authorizing the said oil companies to increase the selling price of their petroleum products. In this connection, it is to be noted that what the Order considers as ground for the authorized price increase in petroleum products i.e., 3% increase in ad valorem duty on all importations, is unrelated to the increase of specific tax rates under P.D. No. 1917. The power to enact laws includes the power to fix a future date on which the act will take effect. Thus, a statute like P.D. No. 1917 which has a definite future date fixed for its commencement takes effect only from that time. (Vol. 1 Sutherland Statutory Construction, p. 269, 270) In view thereof, this Office is of the opinion as it hereby holds that the increase of specific tax rates under P.D. No. 1917 shall apply to your product inventory beginning May 17, 1984 (12:01 a.m.) for inventory ending May 16, 1984 (12:00 Midnight) and is not co-terminus with the Board of Energy Order for price increase of petroleum products effective May 18, 1984 (12:01 a.m.) Very truly yours, (SGD.) RUBEN B. ANCHETA Acting Commissioner