BIR Ruling No. 268-82

October 22, 1982 BIR RULING NO. 268-82 24-cc 178-82 268-82 Food Terminal, Inc. FTI Post Office Tagig, Metro Manila Attention: Mr . Elmo L . Custodio General Manager Gentlemen : This refers to your letter dated May 10, 1982 requesting exemption from the withholding tax prescribed under Section 24(cc) in relation to Section 53(e) of the Tax Code, as amended. In reply, I have the honor to inform you that under Section 10 of Letter of Instructions No. 1013 which was promulgated on April 19, 1980, you are exempt from the payment of all income taxes. Accordingly, the interest income of your bank deposits is exempt from the 15% withholding tax in the case of savings deposit and 20% in case of time deposits and yield from deposit substitutes prescribed by Section 24(cc) of the Tax Code, as amended by Presidential Decree No. 1739. Moreover, your income payments from customers and lessees are exempt from withholding tax. This serves as authority of the depository banks to forego withholding of the final tax on the interest income of bank deposits maintained by FTI with them. Likewise, your customers and lessees should forego withholding of the tax on income due to you. Very truly yours, RUBEN B. ANCHETA Acting Commissioner