BIR Ruling No. 112-62

October 5, 1962 BIR RULING NO. 112-62 MEMORANDUM FOR The Chief, Narcotic Drugs Division With reference to the query contained in your memorandum dated October 19, 1959, quoted hereunder are the pertinent portions of section 728 of the Revised Administrative Code: aisadc "SEC. 728. Definition of practice of pharmacy . A person shall be deemed to be practicing pharmacy within the meaning of this chapter who shall, for a fee, salary, or other reward paid to himself or to another person, prepare, distribute, or sell any medicine, drugs, or pharmaceutical preparation, or fill any prescription therefor. "This definition shall, however, be construed subject to the following limitations: xxx xxx xxx "(c) In a pharmacy or store where medicines are dispensed, prescriptions filled, or drugs and chemicals sold at retail, it shall be sufficient for the purposes of this section that the work of filling prescriptions and the preparation of medicinal compounds be effected in all cases by a registered pharmacist practicing in such pharmacy or store." In individual is subject to the occupation tax when, being one of those enumerated in section 182(B) of the Tax Code, as amended, he is engaged in the active practice of his profession or in the pursuit of his occupation. Such being the case, and considering the aforequoted provisions of law, there seems to be little doubt that pharmacists employed by the Mercury Drug Co. as typists and clerks only are not subject to the pharmacists' occupation tax. The question, however, is whether or not pharmacists employed by said company as sales ladies are subject to the tax. In answer to a query of this Office, the Acting Chairman of the Board of Pharmaceutical Examiners stated that "On the question of whether or not the pharmacists employed by the Mercury Drug Company as sales ladies who do not fill prescriptions or prepare medicinal compounds are considered in active practice of pharmacy, this Board believes that they are deemed practicing pharmacy within the meaning and intent of Section 728 of the Revised Administrative Code", because they sell medicines or drugs. In view of all the foregoing, this Office is of the opinion and so holds that the pharmacists employed by the Mercury Drug Co. as typists and clerks only are not subject to the tax in question. However, those employed as sales ladies, whether or not performing the work of filling prescriptions and/or preparing medicinal compounds, are subject to said tax. lexlib JOSE B. LINGAD Acting Commissioner of Internal Revenue