Mining Operator or Person Who Purchases Ores for Resale

September 8, 1959 BIR RULING NO. 448-59 The President, United Mining Development Corporation San Luis Bldg., Ermita M a n i l a S i r : With reference to your letter dated August 3, 1959, I have the honor to inform you as follows: 1. No license or permit is required to be obtained from this Office by a mining operator or person who purchases ores for resale. 2. Producers of minerals or mineral products subject to royalties and ad valorem taxes under sections 242 and 243 of the Tax Code are not subject to any fixed tax because they are not among those liable to the tax under section 182 of the same Code. However, those who buy ores from mining operators either for resale locally or for exportation, or both, are subject to the graduated fixed tax, which should be secured before engaging in said business. 3. Royalties or ad valorem taxes payable under sections 242 and 243 of the Tax Code are paid by the lessee or mining operator and not by the purchaser of the minerals of mineral products. aisadc Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue