VAT Ruling No. 035-89

March 6, 1989 VAT RULING NO. 035-89 Immaculate Formation House Order Friars Minor Conventional Marytown, Greenfields I Novaliches, Metro Manila S i r s : This refers to your letter dated February 11, 1989 requesting for exemption from the value-added tax of your importation of films, books, booklets which are educational in nature and are intended to be used in the apostolate work of the Catholic Church. In reply, please be informed that: 1. Pursuant to Section 103(f) in relation to Section 101 both of the Tax Code as amended by Executive Order No. 273, the importation of the following books and booklets: a. The Hidden Dangers of the Rainbow b. Dark Secrets of the New Age c. Further of Modern Society d. The Abortion Holocaust e. Divine Mercies f. Vocation prayers and prayers to St. Francis g. Prayer services for church is exempt from the value-added tax. 2. Pursuant to Section 2 of Article I of Agreement on the Importation of Educational, Scientific and Cultural Materials between the UNESCO and the Philippines. "The contracting states undertake not to apply customs duties or other charges on or in connection with the importation of _____________ (a) . . . (b) Educational scientific and cultural materials listed in annex B, C, D and E." Since the following religious films; 1) Magnificent Adventure 19) News Parade of 2) Padre Pio the Years 3) Sealed Lips 20) Through the 4) Soldier Saint Pyrenees to 5) Saint Benedict Lourdes 6) The Real Saint Theresa 21) Castle of the 7) Mother Seton Angels 8) Matter of Conscience 22) Good Samaritan 9) They Walked with Jesus 23) Crucifixcia 10) Once on the Barren Hill 24) Celebrities 11) Mary 25) Ave Maria 12) Priest and Devil 26) Adopting a Bear 13) Mission of Love Club 14) Father Peyton's 5 Sorrowful 27) Hungarian Mysteries Rhapsody 15) Damien 28) Sing a Song of 16) Pope John Paul II Friendship in America 29) God's Rules for me 17) Christmas Looking 30) Little Match Girl 18) Codex B 31) The Brats are classified as "Films" under Annex C(1) of the UNESCO Florence Agreement as certified by the Secretary-General, UNESCO Commission of the Philippines, their importation is exempt from VAT pursuant to Section 103(u) of the Tax Code as amended. Moreover, the said importation is exempt from the excise tax under Section 147(b)(1) of the Tax Code as amended, since they appear to be educational in nature. aisadc 3. Finally the ring binders and tape recording of Christian music are subject to VAT pursuant to Section 100(a) of the same Code. Very truly yours, VICTOR A. DEOFERIO, JR. Deputy Commissioner