VAT Ruling No. 010-06

September 20, 2006 VAT RULING NO. 010-06 Sec. 114 (c); VAT Ruling #78-2002 Rex Book Store, Inc . No. 856 Nicanor Reyes Street Sampaloc, Manila Attention: Atty. Dominador D. Buhain Gentlemen : This refers to your letter sent to us on June 21, 2006 requesting for a ruling exempting you from VAT on your sale of books to DECS Field offices and to local government under Sections 109 and 114(C) of the Tax Code. In reply, we would like to reiterate our opinion under VAT Ruling No. 78-2002 dated November 20, 2002 that your sale, printing and publication of books are exempt from VAT under Sec. 109(R) of the Tax Code of 1997, as last amended by R.A. 9337. In view thereof, you are also exempt from the Final Withholding VAT of 5% on your sale of the said books to your government clients pursuant to Sec. 114(C) of the said Tax Code. aTHASC This ruling is issued based on the facts as represented. However, if upon, investigation it shall be disclosed that the facts are different, then this ruling shall be without force and effect insofar as the herein parties are concerned. Very truly yours, Commissioner of Internal Revenue By: (SGD.) GREGORIO V. CABANTAC Deputy Commissioner