Non-Affixture of BIR Strip Stamps on the Business of Repacking Denatured Alcohol

May 17, 1988 BIR RULING NO. 208-88 152-00 156-00 122-88 208-88 Gentlemen : This refers to your letter dated April 25, 1988, in effect requesting for a ruling that since your business of repacking denatured alcohol is not subject to excise tax, you should likewise be exempt from the requirements to affixture of labels to your product in view of BIR Ruling No. 152-00-000-00-122-88. It is alleged that Treasure Island Industrial Corporation of Mandaue, Cebu, and a sister company, Hundred Island Chemical Corp. of 51 Gen. Rosendo Simon Street, Caloocan City, are holders of permits as repackers of denatured alcohol; that as repackers, you buy denatured alcohol from the manufacturer and repack the same in various kinds of containers for subsequent sale to the users of denatured alcohol. In reply, please be informed that the theory behind BIR Ruling No. 100-000-00-005-88 is that the affixture of BIR strip stamps on bottled compounded liquor is an administrative measure for monitoring the movement of products subject to excise tax; and that since the excise tax on said products has been replaced by VAT, the affixture of BIR strip stamps to the container is no longer necessary. Accordingly, repacked denatured alcohol (not otherwise used for motive power) placed in various kinds of containers for sale to the users need not be affixed with BIR strip stamps. aisadc Very truly yours, (SGD.) EUFRACIO D. SANTOS Deputy Commissioner