BIR Ruling [UN-196-95]

May 25, 1995 BIR RULING [UN-196-95] Columbia Enterprises Corporation Suite 260 2nd Floor Republic Supermarket Bldg. Rizal Avenue Sta. Cruz, Manila Attention: Mr . Jose Tan President/General Manager Gentlemen : This refers to your letter dated April 27, 1995 indorsed to us by Ms. Concepcion S. Kimpo, OIC, Director IV, Revenue Office, Department of Finance on May 19, 1995, requesting exemption from the value-added tax (VAT) on your importation of one hundred (100) lbs. unpopped popcorn in bags covered by B/L No. 263650 dated January 18, 1995 of the S.S. "Express Heaven" and Ramsey Popcorn Company, Inc. Invoice No. 00086669 valued at US$8,250.00. In reply, please be informed that based on your representations, and in accordance with your previous importation of the same nature, the said shipments consisting of the above described articles are classified as agricultural food products in its original state which are exempt from the payment of the 10% VAT pursuant to Section 103(b) of the Tax Code, as amended. This will serve as your authority to release the above-described unpopped popcorn in bags covered by B/L No. 263650 dated January 18, 1995. However, should the article upon inspection prove to be different or are not as manifested above or in any of the documents submitted in support of the application for release from customs custody, or if the articles are described in such a way as to conceal their true nature for the purpose of evading the payment of a higher rate of tax for their release, such articles of shipments shall be subject to the appropriate rate of tax applicable under the Tax Code, as amended, without prejudice to the filing of criminal charges as the circumstances warrant against any party responsible for such misrepresentation. (Authority to Release Imported Goods No. VAT EXEMPT 00004-94 dated December 2, 1994) aisadc Very truly yours, ALICIA P. CLEMENO Assistant Commissioner Legal Service