BIR Ruling No. 288-61

July 26, 1961 BIR RULING NO. 288-61 The Regional Director BIR Regional District No. 2 San Fernando, Pampanga S i r : This is with reference to your ruling numbered 2, series of 1961 (copy attached), inviting attention to the pertinent portion thereof which says ". . . this Office has no choice other than to impose the 25% surcharge on the taxpayer for its failure to comply with the requirements of the law regarding the obtaining of a permit to discharge forest products . . . The law has spoken and this Office is not at liberty to do otherwise. We certainly cannot disregard the mandatory language of the law . . ." (Emphasis supplied) cdll This portion of your ruling categorically states that the surcharge of 25% to be imposed on the taxpayer for failure to obtain the necessary permit to discharge forest products cannot be waived or compromised by the Commissioner of Internal Revenue. We believe such an opinion is partly erroneous in view of the last portion of Section 267 of the Tax Code which provides as follows: ". . . Provided , however , That the Collector of Internal Revenue may, in meritorious cases, waive the surcharge of twenty-five per centum for discharging without permit or grant an extension of time not exceeding thirty days for the payment of the forest charges without surcharge." In other words, the imposition of the 25% surcharge for discharging forest products without permit is not mandatory provision of law, because we are given the discretion, in meritorious cases , to waive the surcharge in question. It is, therefore, requested that RO2 Ruling No. 2, s. of 1961, be accordingly modified to conform with the foregoing opinion. LexLib Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue By: (SGD.) MISAEL P. VERA Deputy Commissioner of Internal Revenue