Non-taxability of the Makers of Artificial Dentures Upon Specific Orders of Dentists

October 5, 1959 BIR RULING NO. 503-59 Atty. Serafin B. Saldaa 2nd Floor, J. R. de Santos Bldg. Corner Arlegui & Barbosa Quiapo, Manila S i r : In reply to your letter inquiring whether the plaintiff in Civil Case No. 46190, Municipal Court of Manila, is subject to any occupation tax, please be informed as follows: From the papers you submitted with your letter of inquiry to this Office, it appears that plaintiff makes artificial dentures upon specific orders of dentists who pay to him the price of the orders. cdtech The pertinent provisions of section 794 of the Revised Administrative Code read as follows: "Any person shall be regarded as practicing dentistry, within the meaning of this section, who shall for a fee, salary, or reward, paid to himself or to another person, perform any operation or part of an operation upon the human teeth or jaws, or who shall treat diseases or lesions or correct malpositions of the teeth; but this provision shall not apply to artisans who are engaged in the mechanical construction of artificial dentures or other oral devices. . . ." Considering the facts and the law, above stated, this Office believes and so holds that the plaintiff in the above case is not engaged in the practice of dentistry and is, therefore, not subject to the occupation tax required of persons practicing dentistry. The plaintiff in this case is, however, an independent contractor subject to the fixed and percentage taxes prescribed in section 182(A)(1) and 191 of the Tax Code. As an independent contractor, he should keep and use the books of accounts required under section 334 of the same Code, as implemented by the Bookkeeping Regulations. He should also issue a receipt for every sale made or service rendered by him the value of which is P2.00 or more. If his gross sale or earnings during the preceding year exceed P20,000, he should issue a receipt for every sale made or service rendered regardless of the value thereof. cdta Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue