10% Advance Sales Tax — ISOPROPHYL PALMITATE
BIR Ruling No. 181-81 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Sep 17, 1981
Full text
September 22, 1981 BIR RULING NO. 181-81 199 67-041 181-81 A.M. Sison, Jr., & Associates 6th Floor, Rufino Building 6784 Ayala Avenue, Makati Metro Manila Attention: Atty . Antonio L . Cardino Gentlemen : This refers to your letter dated July 24, 1981 requesting in behalf of your client, JOHNSON & JOHNSON (PHILS.), INC., for a ruling on the proper internal revenue tax imposable upon its importation of ISOPROPHYL PALMITATE to be used by it as raw material in the manufacture of baby lotion. In reply, I have the honor to inform you that the laboratory analysis conducted by this Office shows that the aforesaid imported article is "an oily product of esterification of palmitic acid and isoprophyl alcohol which is of vegetable origin and a saponifiable matter". Consequently, said importation is considered an ordinary article subject to the 10% advance sales tax based on the landed cost, plus 25% mark-up, pursuant to Section 193(b), in relation to Section 199 of the Tax Code of 1977, as amended. cdtech Very truly yours, RUBEN B. ANCHETA Acting Commissioner
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