Shipment of Religious Tracts is Exempt from the Payment of Compensating Tax

August 4, 1981 BIR RULING NO. 147-81 204-00 055-80 147-81 Baptist Missionary Association Bacolod City Attention: Ms . Luz H . Pagtakhan Authorized Representative M a d a m : This refers to your letter dated May 25, 1981 requesting that your shipment of religious tracts for missionary relief which were donated from abroad for your free distribution, be exempted from the payment of compensating tax. In reply, I have the honor to inform you that it appearing that the Baptist Missionary Association is a religious organization, and considering that the aforesaid shipment are religious materials for free distribution, it is the opinion of this Office as it hereby holds that the aforesaid shipment of religious tracts is exempt from the payment of compensating tax in accordance with the constitutional provision on the free exercise and enjoyment of religious profession and worship. (See Sec. 8, Art. IV, New Constitution, and American Bible Society vs. City of Manila, 101 Phil. 386). Very truly yours, RUBEN B. ANCHETA Acting Commissioner