Non- exemption of General Textiles from Documentary Stamp tax on Insurance Policies

July 23, 1958 BIR RULING NO. 391-58 The Insurance Commissioner Natividad Building Escolta, Manila S i r : With reference to your letter dated June 30, 1958, which was received by this Office on July 16, 1958, requesting our opinion on the query of the General Textiles regarding exemption from the documentary stamp tax on insurance policies, I have the honor to inform you that the tax exemption of new and necessary industries refers only to taxes directly payable by the new and necessary industry in respect to said industry. It may be stated in this connection that the documentary stamp tax on insurance policies is primarily due from the insurance company. Accordingly, the grantees of tax exemption under the provisions of Republic Act No. 901 cannot claim exemption from paying a tax that is not primarily due from them. cdta Very truly yours, (SGD.) MELECIO R. DOMINGO Acting Commissioner of Internal Revenue