DST Imposed on the Application for Examinations and Petition for Change of Registered Name Due to Marriage Forms

July 20, 1988 BIR RULING NO. 343-88 150 (b) 000-00 343-88 Gentlemen : This refers to your application for authority to release imported goods dated June 16, 1988 involving your importation of 2 drums of 100K Fragrance Coco P. valued at AUD3,000.00. The same was referred to this Office for resolution of the issue whether, your said importation is subject to the excise tax of 20% as a non-essential article. It appears that said commodity shall be used as raw material in the manufacture of food flavors and seasoning to be sold to food beverage manufacturers. BIR Laboratory analysis shows that it is a blend of natural essential oils, natural extracts and synthetic perfumery ingredients. Based on the foregoing facts, please be informed that 100K Fragrance Coco P. is not perfume, but an ingredient of perfume; hence, it is not subject to excise tax under Section 150(b) of the Tax Code which prescribes a 20% excise tax only on " perfumes and toilet waters ", among others. It is not the ingredient that is subject to the aforesaid excise tax of 20%. However, pursuant to Section 101(a) of the Tax Code, as amended by Executive Order No. 273, you are subject to the VAT of 10% on the aforesaid importation based on the total value used by the Bureau of Customs in determining tariff and customs duties, plus customs duties, and other charges. This serves as your authority to secure the release of your aforesaid importation of 2 drums of 100K Fragrance Coco P. covered by Bill of Lading No. MB301157 of Orient Overseas Container Ltd. from customs custody after payment of excise tax. cdtech Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner