BIR Ruling No. 140-61
BIR Ruling No. 140-61 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Jan 1, 1961
Full text
1961 BIR RULING NO. 140-61 Otto Omur, Inc. P. O. Box 211 Manila Gentlemen : Reference is made to your letter of the 14th instant, requesting opinion on the rule of advance sales tax due on imported nylon and silk bolting cloths, samples of which have been attached thereto. You stated that said cloths are used by local flour mills for sifting flour to various meshes and your representative has made us understand that the same are imported in sizes of 2 feet x 2 feet or 2 feet x 4 feet. llcd In answer thereto, I have the honor to inform you that as bolting cloth is sieve cloth used for sifting, it is not embraced within the meaning of the term "textiles" as the latter is used in Section 185(p) of the National Internal Revenue Code. Accordingly, the cloths in question are subject to 7% advance sales tax, based on the total landed cost thereof plus 25% mark up. This serves as authority for the Commissioner of Customs, Manila, to effect the release of the above-mentioned importations upon repayment of the 7% advance sales tax, provided that upon verification the same are found to be represented. cdll Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue
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