Agency of DBP in Gingoog City is Subject to a Separate Annual Fixed Tax

December 3, 1981 BIR RULING NO. 245-81 188-00 000-75 245-81 Development Bank of the Philippines Head Office; Makati, Metro Manila P.O. Box 800, MMC 3117 Attention: Ms . Aurora D . Fabros Manager, Accounting Department Gentlemen : This refers to your letter dated August 5, 1980 requesting clarification on whether or not DBP, Cagayan de Oro Branch is subject to pay separate annual fixed tax for the operation of its Gingoog Agency located in Gingoog City. It is represented that your Gingoog Agency should not be treated as a separate or distinct establishment since it is just as extension of Cagayan de Oro Branch; that its only function is limited to the collection of loan payments and processing on behalf of Cagayan de Oro Branch, of loans of borrowers residing within the vicinity of Gingoog City; and that such agency cannot act separately or independently. In reply, I have the honor to inform you that your Gingoog Agency comes within the purview of a separate or distinct establishment or place where business subject to tax is conducted. It is therefore, subject to a separate annual fixed tax for its operation in Gingoog City, in accordance with Section 188 of the Tax Code. cdt Very truly yours, RUBEN B. ANCHETA Acting Commissioner