Withholding of Income Tax from the Wages of Filipino Workers in Guam

November 3, 1958 BIR RULING NO. 655-58 3rd Indorsement Respectfully returned to the Honorable, the Secretary of Finance, Manila. The matter of withholding of income tax from the wages of Filipino workers in Guam is purely a question of law. It appears that the income tax law applicable in Guam provides for such withholding. (Please see letter of the Governor of Guam to Consul Cornista). Such being the case, the withholding of income tax from the wages of Filipino contract workers in Guam is purely a consequence of law. prll It is stated in this connection that the withholding of income tax from wages is also required under Philippine law. Anent the contemplated deduction from the payrolls of the Filipino workers of reasonable amounts to be applied to their past tax liability, the contemplated action would seem to be beneficial in that it would lessen their financial difficulties in paying their past tax obligation. Filipino workers who paid income tax in Guam can credit the same against their Philippine income tax pursuant to Section 30(c)(3)(A) of the National Internal Revenue Code. cdta (SGD.) MELECIO R. DOMINGO Acting Commissioner of Internal Revenue