Failure to File Statement with ITR

May 12, 1959 BIR RULING NO. 252-59 2nd Indorsement Returned to the Regional Director, BIR Regional District No. 3, Manila, the herein papers pertaining to the case of Mr. Sixto S. Tan with the following information: cdta Persons or entities required by law to pay any internal revenue tax whose gross quarterly sales, earnings, receipts, or output do not exceed P5000 should file the statement of net worth and operations with their income tax returns beginning with the filing of the said returns for 1952 when Revenue Regulations Nos. V-13 and V-20 became effective. Those whose gross quarterly sales, earnings, receipts, or output exceed P5000 but do not exceed P25,000 should file the said statement with their income tax returns beginning with their returns for 1957 , the year when General Circular No. 236 was promulgated. Those whose gross quarterly sales, earnings, receipts, or output exceed P25,000 should file the aforesaid statement beginning with the filing of their income tax returns for 1951 and must have this statement certified by an independent certified public accountant, pursuant to section 334 of the Tax Code, as amended. Since the gross quarterly receipts of Mr. Sixto S. Tan are more than P5000 but less than P25,000, he should file the statement of net worth and operations with his income tax returns beginning with his return for 1957. As his present case involves a failure on his part to file the said statement with his income tax return for 1955, he is not, therefore, liable to any penalty for said failure. All rulings insofar as they are inconsistent with the foregoing rules are hereby superseded. prcd (SGD.) JOSE ARAAS Commissioner of Internal Revenue