Tax Exemption of Filing Fees and Other Charges Paid by a Rural Bank in Court and the Register of Deeds

December 5, 1994 BIR RULING NO. 167-94 24 000-00 167-94 Community Rural Bank of C urrimao (Ilocos Norte), Inc. Currimao, Ilocos Norte Attention: Ms . Avelina T . Quilala President Gentlemen : This refers to your letter dated March 14, 1994, which was referred to this Office by the Department of Finance requesting assistance relative to the refusal of the Courts and Register of Deeds of Ilocos Norte to grant you the exemptions mandated by R.A. No. 7353, otherwise known as the Rural Banks Act of 1992, as implemented by the Revenue Regulations No. 16-93. In reply, please be informed that under Section 2 of the Revenue Regulations No. 16-93 implementing the provisions of Sections 15, 20 and 21 of Republic Act No. 7353, all Rural Banks created and organized under the provisions of the Act, and Rural Banks already in operation as of the date of the approval thereof on April 2, 1992 shall be exempt from the payment of all taxes, fees and charges of whatever nature and description, except the corporate income tax and local taxes fees and charges (Sec. 15, R.A. 7353). Such being the case, and since the filing fees and other charges, which you are required to pay whenever you file collection cases in court and register documents with the Office of the Register of Deeds do not fall within the purview of local taxes, fees and charges, this Office is of the opinion as it hereby holds that you are exempt from the payment of the same. Very truly yours, LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue