Amendments to Sections 5 and 6 of Regulations No. 27 of the Department of Finance, as Amended

December 13, 1950 REVENUE REGULATIONS NO. V-10 SUBJECT : Amendments to Sections 5 and 6 of Regulations No. 27 of the Department of Finance, as Amended TO : All Internal Revenue Officers and Others Concerned Pursuant to the provisions of section 338, in relation to section 4, of Commonwealth Act No. 466, otherwise known as the National Internal Revenue Code, the following regulations amending sections 5 and 6 of Regulations No. 27 of the Department of Finance, as amended, are hereby promulgated and shall be known as Revenue Regulations No. V-10. SECTION 1. Section 5 (a) of Regulations No. 27 of the Department of Finance as amended, is hereby further amended to read as follows: (a) Denominations and classes of stamps . Internal revenue stamps of the following denominations will be sold by the Collector of Internal Revenue to manufacturers in lots of not less than one thousand stamps, provided that in exceptional cases and upon express authority from the Collector of Internal Revenue, the same may be sold in lots of not less than one hundred stamps: (1) For affixture to boxes of cigars containing 10, 20, 25, 50, 100, 200, 250, or 500 cigars to the box of the P2.30 class per thousand; (2) For affixture to boxes of cigars containing 5, 10, 20, 25, 50, or 100 cigars to the box of the P4.60 class per thousand; (3) For affixture to boxes of cigars containing 5, 10, 20, 25, 50, or 100 cigars to the box of the P7.00 class per thousand; (4) For affixture to packages (cajetillas) or boxes of cigarettes, hand-wrapped in tinfoil or cellophane or hand-packed in cartons covered with paraffin or wax paper, containing 5, 10, or 20 cigarettes to the package or box of the P6.00 class per thousand; (5) For affixture to packages (cajetillas) or boxes of cigarettes, hand-wrapped in tinfoil or cellophane or hand-packed in cartons covered with paraffin or wax paper, containing 5, 10, or 20 cigarettes to the package or box of the P8.00 class per thousand; (6) For affixture to packages (cajetillas) or boxes of cigarettes, hand-wrapped in tinfoil or cellophane or hand-packed in cartons covered with paraffin or wax paper, containing 5, 10, or 20 cigarettes to the package or box of the P10.00 class per thousand; (7) For affixture to packages (cajetillas) or boxes of cigarettes, mechanically wrapped in tinfoil or cellophane or mechanically packed in cartons covered with paraffin or wax paper, containing 10 or 20 cigarettes to the package or box of the P12.00 class per thousand; (8) For affixture to packages (cajetillas) or boxes of cigarettes, mechanically wrapped in tinfoil or cellophane or mechanically packed in cartons covered with paraffin or wax paper, containing 10 or 20 cigarettes to the package or box of the P16.00 class per thousand; (9) For affixture to packages (cajetillas) or boxes of cigarettes, mechanically wrapped in tinfoil or cellophane or mechanically packed in cartons covered with paraffin or wax paper, containing 10 or 20 cigarettes, to the package or box of the P20.00 class per thousand; (10) For affixture to packages (cajetillas) or boxes of cigarettes of eighty (80) millimeters or less in length, not wrapped in tinfoil or cellophane nor packed in cartons covered with paraffin or wax paper containing 20 or 30 cigarettes to the package or box of the P3.50 class per thousand; (11) For affixture to packages (cajetillas) or boxes of cigarettes of eighty (80) millimeters or less in length, not wrapped in tinfoil or cellophane nor packed in cartons covered with paraffin or wax paper, containing 20 or 30 cigarettes to the package, or box of the P8.00 class per thousand; (12) For affixture to packages (cajetillas) or boxes of cigarettes of more than eighty (80) millimeters in length not wrapped in tinfoil or cellophane nor packed in cartons covered with paraffin or wax paper, containing 20 or 30 cigarettes to the package or box of the P5.25 class per thousand; (13) For affixture to packages (cajetillas) or boxes of cigarettes of more than eighty (80) millimeters in length, not wrapped in tinfoil or cellophane nor packed in cartons covered with paraffin or wax paper, containing 20 or 30 cigarettes to the package or box of the P12.00 class per thousand; ETHIDa (14) For affixture to packages of smoking tobacco containing 50, 100, 125, 250, 450, or 500 grams to the package; (15) For affixture to packages of chewing tobacco containing 50, 100, 250, 500, or 750 grams to the package. SECTION 2. Paragraph (2) of Section 5 (b) of Regulations No. 27 of the Department of Finance, as amended, is hereby further amended to read as follows: (2) The packages (cajetillas) or boxes for Virginia or Virginia-blend cigarettes wrapped in tinfoil or cellophane or packed in cartons covered with paraffin or wax paper shall be closed at both ends. The internal revenue stamp for these cigarettes shall be firmly affixed to the middle of the upper end of the package or box running crosswise and overlapping both sides of it. The affixture of the stamp shall be effected either immediately upon putting the cigarettes in the package or box and before the package or box is wrapped. The packages (cajetillas) or boxes for native (not) Virginia or Virginia-blend cigarettes neither wrapped in tinfoil or cellophane nor packed in cartons covered with paraffin or wax paper need not be closed at the upper end for a period of three months after the promulgation of these regulations; thereafter, the packages or boxes shall be closed at both ends. The internal revenue stamps for these cigarettes shall be firmly affixed to the middle of the upper end of the package or box running crosswise and overlapping both sides of it, before the package or box is wrapped in bundles or packed in cases for removal from the factory. SECTION 3. Section 5 of Regulations No. 27 of the Department of Finance, as amended, is hereby further amended by adding at the end of the of a new sub-section, to be known as sub-section (e), which shall read as follows: (e) Native cigarettes removed from factory before date of effectivity of these regulations . Native (not Virginia or Virginia-blend) cigarettes removed from the factory premises before the date of effectivity of these regulations to which no internal revenue stamps had been affixed to the individual packages or boxes shall be allowed to be sold in the market without the said stamps for a period of thirty (30) days from the date of effectivity of these regulations; thereafter and for the period from the thirty-first day to the sixtieth day, all persons other than consumers who have in their possession or control native cigarettes on which no internal revenue stamps had been affixed on the individual packages or boxes shall present the same to the Supervisor of Tobacco Factories, if in Manila, or to the provincial revenue agent of the inspection unit concerned or to the city (other than Manila) or municipal treasurer of the place, who shall authorize his deputy to stamp on the individual packages or boxes the word "Tax-paid" and put his initials thereon. Before any such package or box of cigarettes is so stamped the person presenting the same shall submit proof that the same was legally acquired and tax-paid. This proof may consist of regular commercial invoice issued by a licensed factory or cigarette dealer. Any package or box of cigarettes found after sixty (60) days from the promulgation of these regulations not bearing internal revenue stamps or stamped "Tax-paid," as herein provided, shall be considered as illicit and subject to confiscation and the possessor thereof shall be liable to the penalties prescribed by the Internal Revenue Law and Regulations. SECTION 4. Section 6 of Regulations No. 27 of the Department of Finance, as amended, is hereby further amended to read as follows: Section 6. Packing of tobacco products for domestic consumption; original containers; destruction of internal revenue stamps affixed to packages or boxes . All cigars, cigarettes, smoking tobacco, and chewing tobacco intended to be removed for sale or consumption within the Philippines shall be packed in boxes or packages of specified quantities or weights as determined hereinafter and such boxes or packages shall be considered original containers: (a) Cigars . Cigars shall be packed in boxes of wood containing 10, 20, 25, 50, 100, 200, 250, or 500 cigars of the P2.30 class per thousand; 5, 10, 25, 50, or 100 cigars of the P4.60 class per thousand; and 5, 10, 20, 25, or 100 cigars of the P7.00 class per thousand; or in substantial cardboards or pasteboard boxes or wrappings of tough paper containing 10 cigars each of the P2.30 class per thousand and 5 or 10 cigars of any other class. Cigar boxes once used by a factory may be used again for packing cigars if the stamps, marks and labels affixed or stamped thereon shall have been completely removed or obliterated before the boxes are returned to the factory premises. (b) Cigarettes . Cigarettes wrapped in tinfoil or cellophane or contained in cartons covered with paraffin or wax paper shall be packed in boxes or packages containing 5, 10, or 20 cigarettes of the P6.00 class, P8.00 class, P10.00 class, P12.00 class, P16.00 class, or P20.00 class per thousand; and other cigarettes, in boxes or packages containing 20 or 30 cigarettes of the P3.50 class, P5.25 class, P8.00 class or P12.00 class per thousand. (c) Smoking tobacco . Smoking tobacco shall be packed in boxes or packages containing 50, 100, 125, 250, 450, or 500 grams each and completely sealed. (d) Chewing tobacco . Chewing tobacco shall be packed in boxes or packages containing 50, 100, 250, 500, or 750 grams each and completely sealed. (e) Containers of tobacco products to be of strong or tough material. All boxes, bundles, packages, or packing cases intended to be used as original containers must be made of strong or tough material approved by the Collector of Internal Revenue. (f) Destruction of internal revenue stamps . Any person who opens any package or box of cigars, cigarettes, smoking tobacco or chewing tobacco either for sale or consumption shall simultaneously destroy the internal revenue stamp affixed thereto in such a manner as to effectively prevent its reuse. cSEDTC SECTION 5. These regulations shall take effect upon publication in the Official Gazette. PIO PEDROSA Secretary of Finance RECOMMENDED BY: S. DAVID Collector of Internal Revenue