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Rate of Advance Sales Tax Applicable to the Cellulose Acetate Trimmings

BIR Ruling No. 405-59 • Bureau of Internal Revenue (BIR) Issuances • Rulings (Numbered) • Aug 21, 1959

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August 21, 1959 BIR RULING NO. 405-59 Otto Gmur, Incorporated P.O. Box 211, Manila Gentlemen : With reference to your letter dated July 15, 1959, requesting information on the rate of advance sales tax applicable to the cellulose acetate trimmings you are contemplating to import from Switzerland, I have the honor to inform you that, as the result of the test made by the National Institute of Science and Technology on the samples submitted by you disclosed that celluloid is not the component material thereof of chief value nor are they textiles wholly or in chief value of nylon or other synthetic chemical fabrics, said articles are subject to 7% advance sales tax only, pursuant to section 183(b), in relation to section 186 of the National Internal Revenue Code. It may be stated that the basis of the aforesaid tax shall be the total landed costs of the imported articles plus 25% mark-up. aisadc Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue

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