Tax Exemption on the Blood Bank Refrigerator

October 19, 1959 BIR RULING NO. 512-59 Miss Paciencia Cachola Acting Chapter Administrator Philippine National Red Cross Bataan Chapter Balanga, Bataan M a d a m : In reply to your letter dated October 16, 1959 requesting tax exemption on the Blood Bank Refrigerator being donated to the Bataan Chapter of the Philippine National Red Cross by the United States Navy in Subic Bay, I have the honor to inform you that in such a case, the donee shall be considered the importer or consignee of said article. Inasmuch as under section 1 of Republic Act No. 1916 all donations in any form and all articles imported into the Philippines, consigned to a duly incorporated charitable society or institution for civic or charitable purposes are exempt from the payment of all taxes and duties upon satisfactory proof that said articles are donation for its use and not for barter, sale or hire, said Blood Bank Refrigerator is hereby declared free from any internal revenue tax. It is understood, however, that in case the aforementioned article is subsequently conveyed or transferred to other parties for a consideration, taxes and duties shall be collected thereon at double the rate provided under existing laws, payable by the transferor. cdll Very truly yours, (SGD.) MELECIO R. DOMINGO Commissioner of Internal Revenue