VAT Ruling No. 089-92

July 6, 1992 VAT RULING NO. 089-92 NIRC Sec. 99; 100 (a) Precedent Ruling 000-00 The Tangible Corporation Garden Floor, LPL Towers 112 Legaspi St., Legaspi Village Makati, Metro Manila Attention: Mr. Rolando P. Sta. Maria Vice-President, Operations Gentlemen : With reference to your letter dated March 6, 1992 inquiring whether the taxes and fees provided for under Sec. 13 of P.D. No. 1185, promulgated on August 26, 1977, otherwise known as the Fire Code of the Philippines, are part of the 10% VAT or are independent and separate therefrom. In reply, please be informed that the taxes and fees provided in P.D. No.. 1185 are for the funding of the Fire Service; while, on the other hand, the 10% VAT is a national tax. Both taxes and fees should be paid by companies engaged in the business of selling fire fighting equipment, appliance and devices on fire detection. Those collected under P.D. No. 1185 would be utilized for a specific purpose, i.e. , to fund the Fire Service. The 10% VAT would be collected under sections 99 and 100 of the Tax Code and, being a national tax would be utilized for governmental delivery of basic services to the people. DaHSIT Very truly yours, (SGD.) JOSE U. ONG Commissioner of Internal Revenue