Rate of Sales Tax for the Locally Sold Silica Quartz
BIR Ruling No. 219-86 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Oct 15, 1986
Full text
October 15, 1986 BIR RULING NO. 219-86 163 (4) 000-00 219-86 S i r : This refers to your letter dated July 15, 1986, stating that you have been granted a mining lease by the Ministry of Natural Resources for the purposes of extracting silica quartz, a non-metallic deposit; that the extraction of the said mineral is undertaken with the use of explosives or with the use of pick and shovel; that handling or loading of quartz from the loading area to LCT vessel is undertaken with the use of dump trucks and payloader; that the minerals are sold to local manufacturers/export producer of ferrosilicon and processor of copper; that you now would like to know the correct rate of sales tax for the locally sold mineral product. In reply, please be informed that in addition to the 3% royalty tax, you are subject to the 20% sales tax based on the gross selling price or gross value in money of the mineral products (silica quartz) sold in accordance with Section 216 of the Tax Code, in relation to Section 163(4) of the same Code, as amended by Executive Order No. 36, which took effect on August 1, 1986. Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner of Internal Revenue
Ask what this means for your situation
The assistant quotes the passage it relies on and links the source, so you can check every figure it gives you.