Financial Support Received from Abroad by Foreign Missionaries are Exempt from Income Tax

August 8, 1991 BIR RULING NO. 148-91 103 (u) 211-89 148-91 Gentlemen : This refers to your letter dated May 13, 1991 requesting for exemption from the payment of income tax and the filing of the corresponding income tax return for foreign missionaries. It is represented that the Association of Baptists For World Evangelism, Inc. (ABWE) is a non-stock, non-profit corporation organized under the state of New Jersey; foreign missionaries assigned with ABWE raised their financial support prior to their coming to the Philippines from among friends, relatives, and churches abroad who may give it in cash, cheques or pledges. These funds are normally coursed through the ABWE in the United States of America and then remitted to ABWE Philippine office and credited to the account of the foreign missionary concerned. In reply, please be informed that since the financial support being received by the foreign missionaries are not compensation and/or salary but donations given to them prior to their coming to the country and that said funds are merely coursed through ABWE for the account of the foreign missionaries, said financial support are not therefore, subject to Philippine income tax. Very truly yours, (SGD.) JOSE U. ONG Commissioner