Tax Liabilities of Geodetic Engineers and Marine Surveyors

October 28, 1985 BIR RULING NO. 190-85 53-f 75-85 190-85 M a d a m : This refers to your letter dated April 10, 1984 requesting a ruling as to whether a private individual such as geodetic engineer and marine surveyor under contract with the Ministry of Natural Resources to conduct numerical lot surveys including the preparation and submission of all necessary draft films, index maps, lots and/or boundary descriptions, etc. is subject to the 3% (now 4%) contractor's tax and to the expanded withholding tax. In reply, please be informed that individuals subject to the occupation tax under Section 12 of the Local Tax Code are not considered independent contractors within the contemplation of Section 205 of the Tax Code as amended. Accordingly, for being subject to the occupation tax imposed by Section 12 of the Local Tax Code geodetic engineers and marine surveyors are not subject to the 4% contractor's tax prescribed by Section 205 of the Tax Code as amended. However, professional fees paid to the geodetic engineers (land surveyors) and marine surveyors are subject to the expanded withholding tax at the rate of 10% in accordance with Section 1(a)(1) of Revenue Regulations No. 6-85 implementing Section 53(f) of the Tax Code, as amended. cdti Very truly yours, (SGD.) TOMAS C. TOLEDO Acting Commissioner