Bureau of Local Government Finance Opinion

June 17, 2002 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Ms. Cecilia R. Patricio SAVP-Taxes and Licenses Division EASTASIA College of Information Technology 2nd Flr. Technology Hall, FEU Campus Nicanor Reyes Sr. St., Manila M a d a m : This refers to your letter dated April 29, 2002, requesting reconsideration of the earlier opinion issued by this Bureau relative to the taxability of machineries by educational institutions such as AMA and STI Computer schools, as contained under our letter dated July 10, 2001. In this connection, please be informed of the pertinent provisions of Local Finance Circular No. 001-2002, dated April 27, 2002 of the Department of Finance, copy attached, which read as follows: "In accordance with the guidelines laid down in this Circular, all local treasurers and assessors are hereby directed to list such machinery and equipment of non-stock non profit educational institutions as "EXEMPT" in their respective assessment rolls upon compliance of the tax exempt individual or entity with the provisions of Section 206 of the Local Government Code." "xxx xxx xxx All existing orders, rules, regulations, circulars and other issuances, particularly JLTAR No. 1-88, of this Department that are contrary to or inconsistent with this Circular are hereby repealed or modified accordingly." Likewise, enclosed is a copy of our letter of the same date to the City Assessor of Manila, for his information and guidance. Very truly yours, (SGD.) JUANITA D. AMATONG Undersecretary and Officer-In-Charge, BLGF