Implementing Rules and Regulations of the UniFAST Act

June 9, 1958 BIR RULING NO. 260-58 The Regional Director BIR Regional District No. 7 Cebu City S i r : This is in connection with your 4th Indorsement dated May 22, 1958 requesting opinion as to whether or not the "FACOMA" at Talibon, Cebu, is exempt from tax although its activities are not confined to those enumerated under Section 1 of Act 3425. Facomas organized under the provisions of Republic Act No. 821 are subject to internal revenue taxes if they engage in any taxable business. However, if they are also organized under Act. No. 3425, as amended by Republic Act No. 702, they are exempt from the merchant's sales tax, income tax and all other percentage taxes, provided that their activities are confined to those enumerated in said Act No. 3425. Accordingly, if they engage in other activities that those authorized by Act No. 3425 they become subject to the corresponding tax. cdtech Very truly yours, (SGD.) JOSE ARAAS Commissioner of Internal Revenue