25% Advance Sales Tax — Beauty Equipment

July 31, 1981 BIR RULING NO. 144-81 196-k 000-00 144-81 Noche-Chan Associated Marketing Corp. No. 4, Ilagan Street, SFDM Quezon City Attention: Mr . Venancio T . Chan General Manager Gentlemen : This refers to your letter dated October 25, 1980 requesting us to advise you the correct rate of advance sales tax and mark-up on your importation of Trim Away and Beauty Roller Massager. It appears that the Central Bank of the Philippines had previously reclassified your kind of importation from non-essential commodity to semi-essential commodity category pursuant to the Monetary Board Resolution No. 932 dated May 10, 1974 as implemented by Memorandum to Authorized Agent Banks No. 56, dated May 16, 1974. In reply, please be informed that, based on our findings and as described in the accompanying brochures you submitted, Trim Away and Beauty Roller Massager are both beauty equipment operated by electricity. Accordingly, your importation of the said devices is subject to 25% advance sales tax based on the total landed cost plus 50% mark-up imposed by Section 196(k), in relation to Section 193(b), both of the Tax Code of 1977, as amended. cdta Very truly yours, RUBEN B. ANCHETA Acting Commissioner