BIR Ruling No. 266-82

October 21, 1982 BIR RULING NO. 266-82 34-h 72-82 266-82 Fordson Parts and Supply Company, Inc. 1020 Guillermo Masangkay Street Binondo, Manila Attention: Mr . Agustin P . Uy President and General Manager Gentlemen : This refers to your letter dated September 20, 1982 requesting a ruling to the effect that Anmica Realty, Inc. is not subject to the capital gains tax prescribed under Section 34(h) of the Tax Code, as amended by B.P. Blg. 37, on gains realized from the transfer by Deed of Conveyance executed on October 8, 1981 in your favor, of its real property consisting of 3,505 square meters, covered by Transfer Certificate of Title No. 18605 of the Registry of Deeds of Pasay City. In reply, I have the honor to inform you that Revenue Regulations No. 8-79 implementing Section 34(h) of the Tax Code as amended by Batas Pambansa Blg. 37 is explicit that only natural persons or individuals are liable to the final capital gains tax prescribed therein. Such being the case, the gains derived by Anmica Realty, Inc. from the transfer of the abovesaid real property to Fordson Parts and Supply Company, Inc. are not subject to the final capital gains tax prescribed by Section 34(h) of the Tax Code, as amended, but to the ordinary corporate income tax prescribed under Section 24(a) of the same Code, as amended. Very truly yours, RUBEN B. ANCHETA Acting Commissioner