VAT Ruling No. 042-00

October 23, 2000 VAT RULING NO. 042-00 Sec. 109 (d) BIR Ruling No. 044-96 WR Trading & Company 897-G San Antonio Tondo, Manila Attention: Mr . Ronillie P . Santos Manager Gentlemen : This refers to your letter dated March 30, 2000 stating that you are a Customs Broker and has a prospective client who is going to import squash and melon seeds; and that your client wants to know whether the aforesaid importation is exempt from VAT. In reply, please be informed that your client's importation of squash and melon seed is exempt from the value-added tax pursuant to Section 109(d) of the Tax Code of 1997 which provides as follows: "Sale or importation of fertilizers, seeds , seedlings and fingerlings; fish, prawns, livestock and poultry feeds, including ingredients, whether locally produced or imported, used in the manufacture of finished feeds (except specially feeds for race horses, fighting cocks, aquarium fish, zoo animals and other animals generally considered as pets);" DACTSH It is of course understood that in all cases of importation of squash and melon seeds, the same shall not be released from customs custody unless covered by an Authority to Release Imported Goods (ATRIG) to be issued by the Revenue District Office having jurisdiction over the port of entry. (See BIR RULING No. 044-96, March 25, 1996) This ruling is being issued on the basis of the foregoing facts as represented. However, if upon investigation, it will be disclosed that the facts are different, then this ruling shall be considered null and void. Very truly yours, (SGD.) LILIAN B. HEFTI Deputy Commissioner Legal & Inspection Group