BIR Ruling No. 141-62

December 3, 1962 BIR RULING NO. 141-62 Mr. Fed. A. Holanday Mangatarem, Pangasinan S i r : In reply to your letter dated September 19, 1964, I have the honor to inform you that as a farmer comes within the purview of the term "Persons required by law to pay internal revenue taxes" found in section 334 of the Tax Code, you should keep books of accounts and other accounting records in accordance with said law, as implemented by Revenue Regulations No. V-1, the Bookkeeping Regulations. With respect to the requirement of filing a statement of net worth and operations with one's income tax return, please be further informed that the fact that one's income is derived exclusively from farming will not exempt him from such requirements, provided that his gross receipts (which should not exceed P5,000.00 a quarter) is not below P2,000.00 a year. Should his quarterly gross receipts exceed P5,000.00 (but exceeding P25,000.00), he is required to file instead a balance sheet and profit and loss statement. For failure to keep books of accounts and other accounting, records, as well as file the above-mentioned statements, a taxpayer is liable to the penalty prescribed in section 352 of the Tax Code. For details, you may see your nearest internal revenue officer. Very truly yours, JOSE B. LINGAD Acting Commissioner of Internal Revenue