Gasoline and Oil Purchased by the Central Bank of the Philippines

October 9, 1958 BIR RULING NO. 589-58 Ist Indorsement Respectfully returned to the Honorable, the Secretary of Finance, Manila, with the observation that the Central Bank of the Philippines cannot claim exemption from the specific tax imposed by Section 142 of Commonwealth Act 466, as amended, on gasoline and oil purchased by it from Caltex (Philippines) Inc. As a rule, a claim for exemption from tax presupposes the imposition of the tax upon the claimant himself. The specific tax due on the gasoline and oil purchased by the Central Bank is not the liability of the bank but of the producer, Caltex (Philippines) Inc. Hence, the Bank cannot claim exemption therefrom. The rule is recognized by Congress when it provided in Section 130 of Republic Act 265 "that said exemptions shall apply to such taxes and assessments for which the Central Bank itself would otherwise be liable, and shall not apply to taxes or assessments payable by persons or other entities doing business with the Central Bank." cdtech (SGD.) MELECIO R. DOMINGO Acting Commissioner of Internal Revenue