BIR Ruling No. 129-84

July 31, 1984 BIR RULING NO. 129-84 205-A-218-82-129-84 Gentlemen : This refers to your letter dated July 10, 1984 requesting exemption from sales tax on the meals, drinks and room accommodation at the Manila Hotel of the delegates of the First International Symposium on Valvular Heart Diseases. It is represented that the Philippine Heart Center for Asia sponsoring the First International Symposium in Valvular Heart Diseases from February 12 to 16, 1985 in conjunction with its 10th anniversary celebration; that the venue for the scientific meeting will be at the Manila Hotel where delegates, including internationally renowned speakers whose hotel accommodations will be sponsored by the Heart Center, will be booked; and that the Heart Center is exempt from the payment of all taxes, charges and fees under Section 6 of P.D. No. 673. In reply, please be informed that this Office finds no legal basis to grant the request for the reason that the 10% hotel room occupancy tax, the 3% tax on food as well as the 7% tax on distilled spirits, fermented liquors and wines imposed by Sections 205 A and 206 of the Tax Code, as amended, are taxes imposed on the proprietors, operators, or keepers of hotels, motels, rest houses, pension houses, lodging houses, resort, restaurants, refreshment parlors and other eating places. In other words, the hotel room occupancy tax, the 3% tax on food as well as the 7% tax on distilled spirits, fermented liquors and wines are directly payable by said establishments. Therefore, the fact that said taxes may ultimately be shifted to or passed on to the delegates of the First International Symposium on Valvular Heart Diseases or to the Heart Center, as the case may be, will not constitute the same as tax payable by the said delegates or by the Heart Center for purposes of the exemption. Moreover, Presidential Decree No. 31 which would have exempted foreign tourist and travellers such as the visiting delegates of the First International Symposium on Valvular Heart Diseases from the payment of the hotel room occupancy tax has been repealed by Batas Pambansa Blg. 2. which took effect on April 1, 1979. aisadc Very truly yours, (SGD.) RUBEN B. ANCHETA Acting Commissioner