PHILIPPINE LAWS, STATUTES, CODES & ISSUANCES
PHILIPPINE LAWS, STATUTES AND CODES - CHAN ROBLES VIRTUAL LAW LIBRARY
REPUBLIC ACTS
REPUBLIC ACT NO. 2362 - AN ACT TO
AMEND SECTION ONE HUNDRED AND NINETY OF COMMONWEALTH ACT NUMBERED FOUR
HUNDRED AND SIXTY-SIX, OTHERWISE KNOWN AS THE NATIONAL INTERNAL REVENUE
CODE |
Section 1.
Section one hundred ninety of the National Internal
Revenue Code, as amended, is hereby further amended as follows: "Section 190.
Compensating tax. � All persons residing or doing business in the
Philippines, who purchase or receive from without the Philippines any
commodities, goods, wares, or merchandise, excepting those subject to
specific taxes under Title IV of this Code, shall pay on the total
value thereof at the time they are received by such persons, including
freight, postage, insurance, commission and all similar charges, a
compensating tax equivalent to the percentage taxes imposed under this
Title on original transactions effected by merchants, importers, or
manufacturers, such tax to be paid before the withdrawal or removal of
said commodities, goods, wares, or merchandise from the customhouse or
the post office: Provided, however, That merchants, importers and
manufacturers, who are subject to tax under sections one hundred
eighty-four, one hundred eighty-five, one hundred eighty-six, or one
hundred eighty-nine of this Title, shall not be required to pay the tax
herein imposed where such commodities, goods, wares, or merchandise
purchased or received by them from without the Philippines are to be
sold, resold, bartered, or exchanged or are to be used in the
manufacture or preparation of articles for sale, barter, or exchange
and are to form part thereof: And provided, further, That the tax
imposed in this section shall not apply to articles to be used by the
importer himself in the manufacture or preparation of articles subject
to specific tax or those for consignment abroad and are to form part
thereof. If any article withdrawn from the customhouse or the post
office without the payment of the compensating tax is subsequently used
by the importer for other purposes, corresponding entry should be made
in the books of accounts, if any are kept, or a written notice thereof
sent to the Collector of Internal Revenue and payment of the
corresponding compensating tax made within ten days from the date of
such entry or notice. If the tax is not paid within such period, the
amount of the tax shall be increased by twenty-five per centum, the
increment to form part of the tax.
"In the case of tax-free articles
brought or imported into the Philippines by persons, entities or
agencies exempt from tax which are subsequently sold, transferred or
exchanged in the Philippines to non-exempt private persons or entities,
the purchasers or recipients shall be considered the importers thereof.
The tax due on such articles shall constitute a lien on the article
itself superior to all other charges or liens, irrespective of the
possessor thereof."
Sec. 2. This Act shall take effect upon its approval.cralaw Approved: June 20, 1959 |
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