BIR Ruling No. 470-2021

XSTE^ llEPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE BUREAU OFINTERNALREVENUE Quezon City SHEINAMARIA PARTNERSHIP CO. Section 109 (1)(B), Tax Rm.301, 1010 Building, A. Mabini St. Code of 1997, as amended Brgy.666,Zone 072,Ermita, Manila 1000 BIR Ruling No.816-2018; BIR Ruling No.044-2014 im Attention: MICHELLE M.HELA CRUZ President Gentlemen: This refers to your reqluest for confirmation that the importation by SheinaMaria Partnership Co.(SMPC) of Sol (SBM) and its sale to Batangas Egg Producers Multipurpose Cooperative(BEPMg to be used as its raw material in making animal feeds is exempt from value-added tax(V^AT)pursuant to Section 109(1)(B)ofthe National Internal Revenue Code(Tax Code)of19^'7,asamended,asimplemented by RevenueRegulations(RR) No. 16-2005, as amended. nnpiiments submitted disiclosed that SMPC, with Taxpayer Identification No.(TIN) \ is a corporaticjn duly organized and existing under the laws ofthe Republic of the Philippines; that it is ^'registered with the Securities and Exchange Commission (SEC) under SEC Company Reg. the business of trading, importe * ot '. and '� dated November 20, 2017, to engage in rruits other agricultural products: and that it is also registered with the Bureau ofAm mal Industry pursuantto the provisions ofRepublic Act(RA) No. 1556 under BAI License to Ct',perate No. as importer oflivestock and poult;ry feeds. valid until December 31,2021 On November 24,2021,k)MPC and BEPMC executed an Agreement where the former agreed to import on behalf of thHe latter 5000MT of SBM from Hong Nga Sai Con Trading CVioemtpnaanm,ywiLtihmittheedfollolcoawtiendgastpeKq..ifiicatiHoing:hway, Gia Ray, Xuan Loc, Dong Nai Province Protein Basis 46.5 PCT, Minimum 45.5PCT Fiber Basis Moisture Maximum 4PCT Sand/Silica Maximum 13.00PCT Aflatoxin Max 2.5PCT Urease Bi or Aflatoxin Bl,B2,Gl,G2- MAX30PBB Max .3PCT In reply please be informed that Section 109(1)(B)of the Tax Code of 1997 as amended, provides: ' iS^C. 109. Exempt Ttxinsactions. - (1) Subject to the provisions of Subsection (2) hereof, the joUowing transactions .shall be exempt from the value-aiiclecl tax: X.XX -Yxr XXX Sale orinwortation ofjertilizers;seeds,seedlings andfin^erlin^s;fish, prawn, live.stock and poultry feeds, including ingredients^ whether