Manufactured Machine Bolt Used in Housing Construction Comes Within the Purview of Nails Subject to 10% Sales Tax
BIR Ruling No. 286-87 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Sep 14, 1987
Full text
September 14, 1987 BIR RULING NO. 286-87 163 (2) (k) 000-00 286-87 Gentlemen : This refers to your letter dated September 8, 1987 requesting a ruling as to the correct rate of sales tax applicable to your manufactured machine bolts. It appears that machine bolt is a metal rod with square wrench head at one end and threads at the other that is commonly used for holding/fastening wooden roofing truss together like nails in the low cost houses; and that steel bar is its raw material. In reply, please be informed that machine bolt which is used to hold/fasten wood together in housing construction particularly wooden roofing truss comes within the purview of nails subject to 10% sales tax prescribed by Section 163(2)(k) of the Tax Code, as amended. Very truly yours, (SGD.) EUFRACIO D. SANTOS Deputy Commissioner
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