Liability to "Municipal Privilege Taxes"

December 24, 1958 BIR RULING NO. 724-58 Mrs. Julieta L. Poli BISCOM, Binalbagan Negros Occidental M a d a m : Reference is made to your letter dated November 3, 1958, stating the following: cdti "I am stockholder and a member of the Board of Directors of the (BECA) Biscom Employees Cooperative Association. When the management noted down that the Kitchen Section was losing, same was leased to me on cooperative basis, that is to help our members. "Under this present set up I would like to inquire if I am subject to pay the Municipal, privilege and internal revenue taxes of P90.00 plus 3% of the gross sales." In reply thereto, I have the honor to inform you that you are subject to the following taxes: 1. Annual fixed tax of P20.00 2. Percentage tax of 3% on your monthly gross receipts in accordance with Sections 182(A)(1) and 191, both of the National Internal Revenue Code. As regards your liability to "municipal privilege taxes", you are advised to direct your query to the treasurer of that municipality, or to the Secretary of Finance, the officials charged with the enforcement of municipal ordinances on fees and charges imposed by municipalities. cdta Very truly yours, (SGD.) MELECIO R. DOMINGO Acting Commissioner of Internal Revenue