Modification of the Description of Alphanumeric Tax Codes for Percentage Tax on Winnings and Prizes Withheld by Race Track Operators

June 29, 2010 REVENUE MEMORANDUM ORDER NO. 060-10 SUBJECT : Modification of the Description of Alphanumeric Tax Codes for Percentage Tax on Winnings and Prizes Withheld by Race Track Operators TO : All Collection Agents, Revenue District Officers and Other Internal Revenue Officers Concerned I. Objective: To clarify the nature of the percentage tax covered by the Alphanumeric Tax Code (ATC) prescribed in Revenue Memorandum Order No. 18-2001, the descriptions of the following ATCs are hereby modified: ITSacC Subject to Percentage Tax: Existing (per ATC Handbook) Modified/New ATC Description Tax Legal ATC Description Tax Rate Basis Rate WB 191 Tax on winnings and 4% Section WB 191 Tax on winnings 4% prizes paid by race 126 of from double, track operators RA No. forecast/quinella Government 8424 and trifecta withholding agent bets on horse races paid by government withholding agent WB 192 Tax on winnings 10% Section WB 192 Tax on winnings 10% and prizes paid 126 of or prizes paid to by race track RA No. winners of winning operators 8424 horse race tickets Government other than double, withholding forecast/quinella agent and trifecta bets; and owners of winning race horses paid by government withholding agent WB 193 Tax on winnings 4% Section WB 193 Tax on winnings 4% and prizes paid 126 of from double, by race track RA No. forecast/quinella operators 8424 and trifecta Private bets on horse withholding races paid by agent private withholding agent WB 194 Tax on winnings 10% Section WB 194 Tax on winnings 10% and prizes paid 126 of or prizes paid to by race track RA No. winners of winning operators 8424 horse race tickets Private other than double, withholding forecast/quinella agent and trifecta bets; and owners of winning race horses paid by private withholding agent II. Repealing Clause: This Revenue Memorandum Order (RMO) revises RMO No. 18-2001 and all other issuances inconsistent herewith. III. Effectivity: This RMO shall take effect immediately. (SGD.) JOEL L. TAN-TORRES Commissioner of Internal Revenue