Present Rates of Withholding Tax on Income Received in the Philippines by Non-Resident Alien Individuals

1960 BIR RULING NO. 251-60 H.E. Heacock Co., Inc. P. O. Box 110 M a n i l a Attention : Mr . H . P . Lim, Chief Accountant Gentlemen : Reference is made to your letter dated May 9, 1960, requesting a ruling from this Office as to the present rates of withholding tax on income received in the Philippines by non-resident alien individuals. cdta In reply thereto, I have the honor to quote hereunder Section 9(b) of Republic Act No. 2343, amending subsection 53(b) of Commonwealth Act No. 466: "(b) Nonresident aliens . All persons, corporations and general copartnerships (companias colectivas), in whatever capacity acting, including lessees or mortgagors or real or personal property, trustees acting in any trust capacity, executors, administrators, receivers, and employees of the Government of the Philippines having the control, receipt, custody, disposal, or payment of interest, dividends, rents salaries, wages, premiums, annuities, compensations remunerations, emoluments, or other fixed or determinable annual or periodical gains, profits, and income of any non-resident alien individual, not engaged in trade or business within the Philippines and not having any office or place of business therein, shall (except in the cases provided for in subsection (a) of this section) deduct and withhold from such annual or periodical gains, profits, and income a tax equal to twenty per centum thereof: Provided , That no such deduction or withholding shall be required in the case of dividends paid by a foreign corporation . . ." cd Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue