Tax on Accounts Actually Received by a Contractor
BIR Ruling No. 190-58 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Mar 17, 1958
Full text
March 17, 1958 BIR RULING NO. 190-58 Heights Construction, Inc. 75 Halcon St., Sta. Mesa Heights Quezon City Attention : Mr . Eduardo A . Cruz , Asst . Accountant Gentlemen : In reply to your letter, dated January 22, 1958, I have the honor to inform you that accounts receivable by a contractor are not taxable until they are actually received by him. The 3% contractor's tax prescribed in Section 191 of the Tax Code is based on actual gross receipts. Accordingly, you may declare for taxation only your actual gross receipts. cdti Very truly yours, (SGD.) JOSE ARAAS Commissioner of Internal Revenue
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