VAT Ruling No. 040-97

May 07, 1997 VAT RULING NO. 040-97 Sec. 103-000-040-97 Commission on Elections Intramuros, Manila Attention: Resureccion Z . Bona Executive Director Gentlemen : This refers to your letter dated March 24, 1997 requesting for exemption from the value added tax the shippers of the Commission on Elections ("COMELEC") with respect to the shipment by air of the registration and election forms, supplies, paraphernalia and other election cargoes in connection with the March 24, 1997 registration of voters and the May 12, 1997 Barangay Elections. As basis thereof, you have cited the tight schedules and the budgetary constraints imposed by Republic Act No. 8250 otherwise known as the 1997 General Appropriations Act. In reply, please be informed that much as we understand the limited resources of the Commission on Elections, however there is no provision in the Tax Code, particularly Section 103 thereof, as amended by Republic Act Nos. 7716 and 8241 which will legally justify your request for exemption from value added tax on the basis of the abovecited circumstances. In addition the COMELEC is also obligated by law to withhold the value added tax of six percent (6%) from its payments to the shippers. aisadc In view thereof, your request to exempt the shippers of the Commission on Elections from the value added tax cannot be granted for lack of merit. Very truly yours, LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue