BIR Ruling No. 146-61

May 2, 1961 BIR RULING NO. 146-61 Mr. Sia Bok Royal Manufacturing Company 1104 San Fernando St. Manila S i r : In answer to your letter dated March 21, 1961, I have the honor to inform you that internal revenue officers, when authorized by the Commissioner of Internal Revenue, or the Regional Directors or the Provincial Revenue Officers, generally inspect and examine the books of accounts only once for each taxable year. However, there is no prohibition on a subsequent inspection and examination if circumstances of fraud, malfeasance, concealment or misrepresentation of material facts warrant said re-examination. Books of accounts corresponding to the preceding five years may still be inspected and examined even if the same have been previously examined. Refusal to allow Internal Revenue Officers to inspect and examine books of accounts corresponding to preceding five years, is punishable by a fine of not more than P300.00 or by imprisonment for not more than 6 months, or both. Failure to pay such fine imposed by the court or where the person so convicted has no property with which to meet said fine, a subsidiary personal liability at the rate of one day for each P2.50 subject to the rules established in Article 59 of the Revised Penal Code may be imposed. (Sections 352 and 353 of the Tax Code). Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue