Deductibility of the Cost of Logs or Lumber Used in the Manufacture of Office and Household Furniture and Fixtures

August 31, 1960 BIR RULING NO. 379-60 E. F. Constantino & Associates Certified Public Accountants R-216 Doa Salud Building 671 Dasmarias St., Manila Gentlemen : In reply to your letter dated August 24, 1960, I have the honor to inform you that the cost of logs or lumber used in your manufacture of office and household furniture and fixtures is deductible, for purposes of the sales tax, from the gross selling price of the manufactured articles provided the logs or lumber used were previously subjected to the sales, tax and provided still further that the furniture manufactured therefrom are subject to 7% and not 30% sales tax. aisadc Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue