VAT Ruling No. 028-92

March 11, 1992 VAT RULING NO. 028-92 NIRC Sec. 102 (a) Precedent Ruling 000-00 Associated Press 1500 Roxas Blvd. Ermita, Manila Attention: Mr. Robert H. Reid S i r : This refers to your letter dated July 9, 1991 seeking confirmation of the statement in the Advisory Letter of Joaquin Cunanan & Co. that the unnumbered ruling dated October 22, 1987, addressed to you, holding that the business of an international news agency is exempt from VAT has already been revoked. In reply, please be informed that VAT Ruling No. 020-91 dated April 1, 1991 addressed to SGV and Co., in behalf of Reuters Ltd., expressly revoked the aforecited unnumbered ruling addressed to Associated Press. Under this latest ruling, the business activity you are engaged in is considered as a taxable activity under Section 102 of the Tax Code, as amended. Such being the case, you became subject to VAT as of April 1, 1991 considering that a vested right cannot spring from a wrong interpretation of the law. ( Emilio Y. Hilado vs. The Collector of Internal Revenue and the Court of Tax Appeals, G.R. No. L-9408; October 31, 1956 ). In view thereof, you are requested to register as a VAT-taxpayer with the Revenue District Office having jurisdiction over your principal place of business. ATESCc Very truly yours, (SGD.) JOSE U. ONG Commissioner of Internal Revenue