BIR Ruling No. 143-61

April 5, 1961 BIR RULING NO. 143-61 The President Agricultural Fire Insurance and Surety Co., Inc. Lopez Bldg., Manila S i r : This is in connection with the authority granted by this Office in favor of that company to use Documentary Stamp Meter No. 14945 Model "F85". The attention of this Office has been called to the fact that your company does not print the documentary stamp on the taxable document itself but on a tape which in turn is affixed to the taxable document. This practice is a violation of Section 237 of the National Internal Revenue Code and Section 3 of Regulations No. 77 which amended Regulations 26 otherwise known as the Documentary Stamp Tax Regulations. LLphil The permit granted by this Office authorized the grantee thereof to print the documentary stamp on the document itself. If this cannot be done, for one reason or another, the machine should not be used. Instead the ordinary documentary stamp should be purchased and affixed to the taxable document. Inasmuch as what you have done was due merely to a misinterpretation of the permit granted by this Office, and considering further that the Government did not lose any amount, the value of the stamps printed having been paid prior to the use of the stamp machine, those stamps already printed by you are considered valid provided they are duly cancelled. However, beginning April 30, 1961, all documentary stamps printed by documentary stamp machine on a tape shall not be considered valid. LLjur Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue