Amendment to Section 9 of Revenue Regulations No. V-7

February 13, 1954 REVENUE REGULATIONS NO. V-37 SUBJECT : Amendment to Section 9 of Revenue Regulations No. V-7 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 section 9 of Revenue Regulations No. V-7 are hereby promulgated and shall be known as Revenue Regulations No. V-37. SECTION 1. Section 9 of Revenue Regulations No. V-7 of the Department of Finance, as last amended by Revenue Regulations No. V-22, is hereby amended to read as follows: SEC. 9. Stock-taking and allowance for waste of cigarette paper . The Supervisor of Tobacco Factories and all Provincial Revenue Agents, except those for the provinces of Rizal, Cavite and Bulacan, shall take physical inventory of the stock of cigarette paper of all importers, exporters and manufacturers thereof and manufacturers of cigarettes within their respective units, once every three months or as often as may be found necessary. The stocktaking report shall show a summary of all debit and credit transactions in cigarette paper and any shortage found in the inventories of stock, together with the necessary recommendations. Registered manufacturers of cigarettes may be credited with allowance for wastage of cigarette paper destroyed in the process of manufacture of cigarettes not to exceed two per cent (2%) of the cigarette paper used in such manufacture by Modern Standard German, Standard American and Standard Japanese cigarette making machines, and four per cent (4%) in the case of cigarette making machines other than those machines aforementioned. All waste cigarette paper should be preserved, and before the same is destroyed, the manufacturers of cigarettes shall make proper application therefor with the Collector of Internal Revenue or with the Provincial Revenue Agent, as the case may be. The Collector of Internal Revenue or his representative shall authorize and witness by himself or his representative such destruction. A certificate of destruction in triplicate shall be signed by the manufacturer or his authorized representative and the internal revenue officer who witnessed the destruction. The credit for allowance shall only be entered in the register book after the accomplishment of the certificate of destruction, a copy of which shall constitute the supporting paper for such entry. It shall be the duty of the permittee or user to keep his stock of cigarette paper in his factory, warehouse, or place of business in an enclosure, room, or closet under special lock subject to inspection at all times by internal revenue officers. The cigarette paper shall be arranged separately and marked or tagged in accordance with their classification as to brand, color and length in such manner as to facilitate an accurate physical inventory thereof by internal revenue officers. SECTION 2. Date of Effectivity. These regulations shall take effect upon promulgation in the Official Gazette. (SGD.) JAIME HERNANDEZ Secretary of Finance RECOMMENDED BY: (SGD.) J. ANTONIO ARANETA Acting Collector of Internal Revenue