BIR Ruling [UN-228-95]

June 22, 1995 BIR RULING [UN-228-95] Social Security System East Avenue, Diliman Quezon City Attention: Mr . Godofredo S . Sison Deputy Administrator Gentlemen : This refers to your letter dated February 28, 1995, requesting that the Social Security System (SSS) be exempted from the requirements imposed by Revenue Regulations No. 14-93; and that payment for capital gains tax, creditable withholding tax by individuals on sales or transfers of property classified as capital assets as well as documentary stamp tax shall be made only by or thru Manager's or Cashier's Check of bank debit regardless of the amount. It appears that some BIR accredited banks specifically located in Pampanga refuse to accept SSS checks in payment of said taxes. cdtech In support of your request, you stated that SSS is a financially sound institution: that being a government-owned and controlled corporation, your dealings on real properties are merely incidental to foreclosure to recover housing loan investments; and that it is to the mutual benefit of both SSS and BIR to continue the mode of payment through the issuance of checks since the said procedure leads to faster disbursement and eventually to faster payment of taxes. In reply, please be informed that in view of the above meritorious reasons, your aforesaid request is hereby granted. Accordingly, you may effect payment of capital gains tax, creditable withholding tax on sales or transfers of property classified as capital assets as well as documentary stamp tax thru SSS checks, as an exception to RR No. 14-93, requiring payment of taxes through Manager's checks, Cashier's checks and certified checks. Very truly yours, RENE G. BAEZ Acting Commissioner