BIR Ruling No. 599-2020

REPUBLIC OF THE PHILIPPINES

DEPARTMENT OF FINANCE

BUREAU OF INTERNAL REVENUE

Quezon City

Executive Order (EO No.2, BIR Ruling No.1393-2018 Series of 2016;

OCT 2 0 2020 07-0599-2020

SHAW GOMEZ AND MARASIGAN LAW OFFICES Unit 211, The Atrium of Makati, Makati Ayenue Urdaneta Village, Makati City

Attention: ATTY. NERISSA L. MARASIGAN

Gentlemen:

This refers to your request on behalf of an undisclosed client for copies.of the following documents pursuant to Executive Order (E.O.) No. 2, Series of 2016:

1. Letter of Puno and Puno Law Offices, signed by Attys. Ma. Elizabeth E. Peralta-Loriega and Gracejenn Vizcarra Giron, and basis of BIR Ruling No. DA-327-07 dated June 14,2007;

2. Letter of Romulo Mabanta Buenaventura Sayoc & De Los Angeles, signed

by Attys. Perry L. Pe and Jayson L. Fernandez, and basis of BIR Ruling No. DA-005-08 dated January 9,2008;

3. Letter of IP Converge Data Center, Inc., signed by Atty. Rhodaline Regoso-

Jumamil, as basis of BIR Ruling No. 148-10 dated December 17, 2010; and

4.. Letter of i-Pay Commerce Ventures, Inc. signed by Mr. Alejandro James A

Chiongbian, as basis of BIR Ruling No. 238-12 dated March 29, 2012.

As stated in your letter, your undisclosed client intends to request for a'ruling from the

Bureau of Internal Revenue (BIR) that the Corporation is not a Closely Held Corporation for

purposes of Initial Public Offering Tax (IPO Tax)under Section i27 (B of the National

Internal Revenue Code of 1997, as amended.

In-reply, please be informed that Section 4 of E.O. No. 2, Series of 2016, states that:

"Section 4. Exception. Access to information shall be denied when the

information falls under anv of_the exceptions enshrined in the Constitution.

existing law or jurisprudence.

The Department of Justice and the Office of the Solicitor General are hereby

directed to prepare an inventory of such exceptions and submit the same to the

Office of the President within thirty (30) calendar days from the date of

effectivity of this Order.

The Office. of the President shall thereafter, immediately circularize the

inventory of exceptions_for the guidance of all government offices and

instrumentalities covered by this Order and the general public.

Said inventory of exceptions shall periodically be updated to properly reflect any change in existing law and jurisprudence and the Department of Justice

and the Office of the Solicitor General are directed to update the inventory of

OT-0599-2020

SHAW GOMEZ AND MARASIGAN LAW OFFICES OCT 2 0 2020

exceptions as the need to do so arises, for circularization as hereinabove stated. " (Underscoring supplied)

The Office of the President immediately circularized the inventory of exceptions for the guidance of all government offices and instrumentalities covered by the said Order and the

general public, through a Memorandum from the Executive Secretary, dated November 24. 2016. One of the exceptions to the right of access to information, as recognized by the Constitution,'existing laws, or jurisprudence, under the said Memorandum is:

are deemed as confidential, including those submitted or disclosed by entities "5. Information, documents or records known by reason of official capacity and

to government agencies, tribunals, boards, or officers, in relation to the performance of their functions, or to inguiries or investigation conducted by them in the exercise of their administrative, regulatory or quasi-judicial

powers.

encompassing as it provides for exceptions under Section 4 thereof. Moreover, Section 7 of E.O. No. 2, Series of 2016, even protects the right of privacy of individuals as it provides: Hence, access to information under the E.O. No. 2, Series of 2016, is not all-

public records. and official records. responsible officials shall afford full "Section 7. Protection of Privacy. While providing access to information.

protection to the right to privacy of the individual as follows:

(a) Each government office per Section 2 hereof shall ensure that personal

only if it is material or relevant to the subiect-matter of the reauest and information in its custody or under its control is disclosed or released

its disclosure is permissible under this order or existing law, rules or regulations;

(b) Each government office must protect personal information in its custody

or control by making reasonable security arrangements against leaks

harassment or any other wrongful acts; and or premature disclosure of personal information which unduly exposes the individual whose personal information is requested, to vilification,

(c) Any emplovee, official or director of a government office per Section 2

information in the custody of the office, must not disclose.that hereof who has access. authorized or unauthorized. to personal information except when authorized under this order or pursuant to existing laws, rules or regulation.

request pursuant to the exceptions to the right of access to information under E.O. No. 2, Series In view of the foregoing, we regret to inform you that this Office cannot grant your

of2016.

Please be guided accordingly.

Very truly yours,

AReaa

Commissioner of Internal Revenue CAESAR R. DULAY

K-1-LMAT 036944

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