Bureau of Internal Revenue
Republic of the Philippines


Tax Information



Estate Tax
Income Tax
Percentage Tax
Value-Added Tax
Withholding Tax
Excise Tax


 

 

 


EXCISE TAX

Contents
Description
Codal Reference
Procedures and Compliance Requirements
Tax Tables
Tax Deadlines
Tax Forms
Related Revenue Issuances
Frequently Asked Questions

Description

Excise Tax is a tax imposed on goods manufactured or produced in the Philippines for domestic sale or consumption or any other disposition. It is also imposed on things that are imported.

Codal Reference

· Alcohol Products - Secs. 141 to 143
· Tobacco Products - Secs. 144 to 147
· Petroleum Products - Sec. 148
· Mineral Products - Sec. 151
· Miscellaneous Articles - Secs. 149 - 150

Procedures and Compliance Requirements

How to Accomplish BIR Forms

a) BIR Form 2200-A Excise Tax Return for Alcohol Products

NOTE: a) Computation of tax and explanations thereto are based on the items/numbers provided in the above-mentioned form
b) Items 1 to 14 refer to the background information of the taxpayer
c) Item 15 refers to manner of payment
Item 16.

Unapplied Payment per Immediately Preceding Return Indicate the balance of advanced payment per return prior to this return

Items 17.

Excise Tax Due on Actual Removals/Application

17A to 17B Indicate the inclusive date of removal
17D to 17E Indicate the inclusive date of removal
17G to 17H Indicate the inclusive date of removal
17J to 17K Indicate the inclusive date of removal
17M to 17N Indicate the inclusive date of removal
17C Indicate the excise tax due on actual removals (refer to Schedule I)
17F Indicate the excise tax due on actual removals (refer to Schedule I)
17I Indicate the excise tax due on actual removals (refer to Schedule I)
17L Indicate the excise tax due on actual removals (refer to Schedule I)
17Q Indicate the excise tax due on actual removals (refer to Schedule I)

Item 18. Total Excise Tax Due
Add Items 17C, 17F, 17I, 17L and 17Q
Item 19.

Balance Unapplied/(Overapplied)
Item 16 minus Item 18

Item 20.

Penalties
Additional penalties are imposed in the following cases:

20A 1) A surcharge of twenty five percent (25%) of the amount due is imposed on the following cases:
a) Failure to file any return and pay the tax or installment due thereon on or before due date;
b) Unless otherwise authorized by the Commissioner, filing a return with a person or office other than those with whom it is required to be filed;
c) Failure to pay the full or partial amount of tax shown on the return, or the full amount of tax due for which no return Is required to be filed on or before the due date; or
d) Failure to pay the deficiency tax within the time prescribed for its payment in the notice of assessment.

2. A surcharge of fifty percent (50%) of the tax or of the deficiency tax,In case any payment has been made on the basis of such return Before the discovery of the falsity or fraud, for each of the following Violations:
a) Willful neglect to file the return within the period prescribed by the Code or by the rules and regulations; or
b) In case a false or fraudulent return is willfully made.

20B. Interest for late payment is computed at twenty percent (20%) per annum from the date the payment is due up to the date of full payment based on the basic tax payable in Item 19

20C. Please do not fill up this portion. You will be properly notified if any compromise penalty will be imposed.

20D. To get the total penalties, add Items 20A to 20C

Item 21.

Balance Unapplied/(Deficiency)
To get this, deduct Item 20D from Item 20

Item 22.

Payment Made Today
Indicate payment made per this return

Item 23.

Balance to be Applied Against Subsequent Removals
To get this, add Items 21 and 22

 

Schedule I - Excise Tax Due on Actual Removals of Alcohol Products Chargeable Against Payments

Column I - Refer to Applicable Alphanumeric Tax Code
Column 2 - Refer to Description of the Product/Articles Subject to Excise Tax
Column 3 - Refer to unit of measurement
Column 4 - Refer to Applicable Excise Tax Rate
Column 5 - Refer to Applicable Tax Base of the Products/Articles
Column 6 - Refer to Excise Tax Due (Excise Tax Rate x Tax Base )


· BIR Form 2200-AN-Excise Tax Return for Automobiles and Non-Essentials

NOTE: a) Computation of tax and explanations thereto are based on the items/numbers provided in the above mentioned form
b) Items 1 to 14 refer to the background information of the taxpayer.
c) Item 15 refers to manner of payment
Item 16.

Unapplied Payment per Immediately Preceding Return
Indicate the balance of advanced payment per return prior to this return

Item 17.

Excise Tax Due on Actual Removals/application
17A to 17B Indicate the inclusive date of removal
17D to 17E Indicate the inclusive date of removal
17G to 17H Indicate the inclusive date of removal
17J to 17K Indicate the inclusive date of removal
17M to 17N Indicate the inclusive date of removal
17C Indicate the excise tax due on actual removals (refer to Schedule I)
17F Indicate the excise tax due on actual removals (refer to Schedule I)
17I Indicate the excise tax due on actual removals (refer to Schedule I)
17L Indicate the excise tax due on actual removals (refer to Schedule I)
17Q Indicate the excise tax due on actual removals (refer to Schedule I)

Item 18.

Total Excise Tax Due
Add Items 17C, 17F, 17I, 17L and 17Q

Item 19. Balance Unapplied/(Overapplied)
Item 16 minus Item 18
Item 20.

Penalties
Additional penalties are imposed in the following cases:

20A 1) A surcharge of twenty five percent (25%) of the amount due is imposed in the following cases:
a) Failure to file any return and pay the tax or installment due thereon on or before due date;
b) Unless otherwise authorized by the Commissioner, filing a return with a person or office other than those with whom it is required to be filed;
c) Failure to pay the full or partial amount of tax shown on the return, or the full amount of tax due for which no return is required to be filed on or before the due date; or
d) Failure to pay the deficiency tax within the time prescribed for its payment in the notice of assessment.

2. A surcharge of fifty percent (50%) of the tax or of the deficiency tax, in case any payment has been made on the basis of such return before the discovery of the falsity or fraud, for each of the following violations:
a) Willful neglect to file the return within the period prescribed by the Code or by the rules and regulations; or
b) In case of false or fraudulent return is willfully made.

20B. Interest for late payment is computed at twenty percent (20%) per annum from the date the payment is due up to the date of full payment based on the basic tax payable in Item 19

20C. Please do not fill up this portion. You will be properly notified if any compromise penalty will be imposed.

20D. To get the total penalties, add Items 20A to 20C

Item 21. Balance Unapplied/(Deficiency)
To get this, deduct Item 20D from Item 20
Item 22. Payment Made Today
Indicate payment made per this return
Item 23. Balance to be Applied Against Subsequent Removals
To get this, add Items 21 and 22
 

Schedule I - Excise Tax Due on Actual Removals of Non-Essential Products Chargeable Against Payments

Column 1 - Refer to Applicable Alphanumeric Tax Code
Column 2 - Refer to Description of the Product/Articles Subject to Excise Tax
Column 3 - Refer to unit of measurement
Column 4 - Refer to Applicable Excise Tax Rate
Column 5 - Refer to Applicable Tax Base of the Products/Articles
Column 6 - Refer to Excise Tax Due (Excise Tax Rate x Tax Base )


BIR Form 2200-M Excise Tax Return for Mineral Products
NOTES: a) Computation of tax and explanations thereto are based On the items/numbers provided in the above mentioned Form
b) Items 1 to 14 refer to the background information of the taxpayer
c) Item 15 refers to manner of payment
Item 16. Unapplied Payment per Immediately Preceding Return
Indicate the balance of advanced payment per return prior to this return
Item 17. Excise Tax Due on Actual Removals/Application
17A to 17B Indicate the inclusive date of removal
17D to 17E Indicate the inclusive date of removal
17G to 17H Indicate the inclusive date of removal
17J to 17K Indicate the inclusive date of removal
17M to 17N Indicate the inclusive date of removal
17C Indicate the excise tax due on actual removals (refer to Schedule I)
17F Indicate the excise tax due on actual removals (refer to Schedule I)
17I Indicate the excise tax due on actual removals (refer to Schedule I)
17L Indicate the excise tax due on actual removals (refer to Schedule I)
17Q Indicate the excise tax due on actual removals (refer to Schedule I)
Item 18.

Total Excise Tax Due
Add Items 17C, 17F, 17I, 17L and 17Q

Item 19. Balance Unapplied/(Overapplied)
Item 16 minus Item 18
Item 20.

Penalties
Additional Penalties
Additional penalties are imposed in the following cases:

20A 1) A surcharge of twenty five percent (25%) of the amount due is imposed in the following cases:
a) Failure to file any return and pay the tax or installment due thereon on or before due date;
b) Unless otherwise authorized by the Commissioner, filing a return with a person or office other than those with whom it is required to be filed;
c) Failure to pay the full or partial amount of tax shown on thereturn, or the full amount of tax due for which no return is required to be filed on or before the due date; or
d) Failure to pay the deficiency tax within the time prescribed for its payment in the notice of assessment.

2. A surcharge of fifty percent (50%) of the tax or of the deficiency tax, in case any payment has been made on the basis of such return before the discovery of the falsity or fraud, for each of the following violations:a) Willful neglect to file the return within the period prescribed by the Code or by the rules and regulations; orb) In case a false or fraudulent return is willfully made.

20B. Interest for late payment is computed at twenty percent (20%) per annum from the date the payment is due up to the date of full payment based on the basic tax payable in Item 19

20C. Please do not fill up this portion. You will be properly notified if any compromise penalty will be imposed.

20D. To get the total penalties, add Items 20A to 20C

Item 21.

Balance Unapplied/(Deficiency)
To get this, deduct Item 20D from Item 20

Item 22.

Payment Made Today
Indicate payment made per this return

Item 23. Balance to be Applied Against Subsequent Removals
To get this, add Items 21 and 22
 

Schedule I - Excise Tax Due on Actual Removals of Mineral Products Chargeable Against Payments

Column I - Refer to Applicable Alphanumeric Tax Code
Column 2 - Refer to Description of the Product/Articles Subject to Excise Tax
Column 3 - Refer to Unit of Measurement
Column 4 - Refer to Applicable Excise Tax Rate
Column 5 - Refer to Applicable Tax Base of the Products/Articles
Column 6 - Refer to Excise Tax Due (Excise Tax Rate x Tax Base )


BIR Form 2200-P Excise Tax Return for Petroleum Products
NOTES: a) Computation of tax and explanations thereto are based on the items/numbers provided in the abovementioned form
b) Items 1 to 14 refer to the background information of the taxpayer
c) Item 15 refers to manner of payment
Item 16.

Unapplied Payment per Immediately Preceding Return
Indicate the balance of advanced payment per return prior to this return

Item 17.

Excise Tax Due on Actual Removals/application
17A to 17B Indicate the inclusive date of removal
17D to 17E Indicate the inclusive date of removal
17G to 17H Indicate the inclusive date of removal
17J to 17K Indicate the inclusive date of removal
17M to 17N Indicate the inclusive date of removal
17C Indicate the excise tax due on actual removals (refer to Schedule I)
17F Indicate the excise tax due on actual removals (refer to Schedule I)
17I Indicate the excise tax due on actual removals (refer to Schedule I)
17L Indicate the excise tax due on actual removals (refer to Schedule I)
17Q Indicate the excise tax due on actual removals (refer to Schedule I)

Item 18.

Total Excise Tax Due
Add Items 17C, 17F, 17I, 17L and 17Q

Item 19.

Balance Unapplied/(Overapplied)
Item 16 minus Item 18

Items 20.

Penalties
Additional penalties are imposed in the following cases:

20 A 1) A surcharge of twenty five percent (25%) of the amount due is imposed in the following cases:
a) Failure to file any return and pay the tax or installment due thereon on or before due date;
b) Unless otherwise authorized by the Commissioner, filing a return with a person or office other than those with whom it is required to be filed;
c) Failure to pay the full or partial amount of tax shown on the Return, or the full amount of tax due for which no return is required to be filed on or before the due date; or
d) Failure to pay the deficiency tax within the time prescribed for its payment in the notice of assessment.

2) A surcharge of fifty percent (50%) of the tax or of the deficiency tax, in caseAny payment has been made on the basis of such return before the Discovery of the falsity or fraud, for each of the following violations:
a) Willful neglect to file the return within the period prescribed by theCode or by the rules and regulations; or
b) In case a false or fraudulent return is willfully made.

20B. Interest for late payment is computed at twenty percent (20%) per annum from the date the payment is due up to the date of full payment based on the basic tax payable in Item 19

20C. Please do not fill up this portion. You will be properly notified if any compromise penalty will be imposed.

20D. To get the total penalties, add Items 20A to 20C

Item 21.

Balance Unapplied/(Deficiency)
To get this, deduct Item 20D from Item 20

Item 22.

Payment Made Today
Indicate payment made per this return

Item 23.

Balance to be Applied Against Subsequent Removals
To get this, add Items 21 and 22

 

Schedule I Excise Tax Due on Actual Removals of Petroleum Products Chargeable Against Payments

Column I - Refer to Applicable Alphanumeric Tax Code
Column 2 - Refer to Description of the Product/Articles Subject to Excise Tax
Column 3 - Refer to Unit of Measurement
Column 4 - Refer to Applicable Excise Tax Rate
Column 5 - Refer to Applicable Tax Base of the Products/Articles
Column 6 - Refer to Excise Tax Due (Excise Tax Rate x Tax Base )


BIR Form 2200-T Excise Tax Return for Tobacco Products
NOTES: a) Computation of tax and explanations thereto are based On the items/numbers provided in the abovementioned Form
b) Items 1 to 14 refer to the background information of the taxpayer
c) Item 15 refers to manner of payment
Item 16. Unapplied Payment per Immediately Preceding Return
Indicate the balance of advanced payment per return prior to this return
Item 17. Excise Tax Due on Actual Removals/application
17A to 17B Indicate the inclusive date of removal
17D to 17E Indicate the inclusive date of removal
17G to 17H Indicate the inclusive date of removal
17J to 17K Indicate the inclusive date of removal
17M to 17N Indicate the inclusive date of removal
17C Indicate the excise tax due on actual removals (refer to Schedule I)
17F Indicate the excise tax due on actual removals (refer to Schedule I)
17I Indicate the excise tax due on actual removals (refer to Schedule I)
17L Indicate the excise tax due on actual removals (refer to Schedule I)
17Q Indicate the excise tax due on actual removals (refer to Schedule I)
Item 18.

Total Excise Tax Due
Add Items 17C, 17F, 17I, 17L and 17Q

Item 19. Balance Unapplied/(Overapplied)
Item 16 minus Item 18
Item 20.

Penalties
Additional penalties are imposed in the following cases:

20A 1) A surcharge of twenty five percent (25%) of the amount due is imposed in the following cases:
a) Failure to file any return and pay the tax or installment due thereon on or before due date;
b) Unless otherwise authorized by the Commissioner, filing a return with a person or office other than those with whom it is required to be filed;
c) Failure to pay the full or partial amount of tax shown on the return,or the full amount of tax due for which no return Is required to be filed on or before the due date; or
d) Failure to pay the deficiency tax within the time prescribed for its payment in the notice of assessment.

2) A surcharge of fifty (50%) percent of the tax or of the deficiency tax, in case any payment has been made on the basis of such return before the discovery of the falsity or fraud, for each of the following violations:
a) Willful neglect to file the return within the period prescribed by the Code or by the rules and regulations; or
b) In case a false or fraudulent return is willfully made.

20B. Interest for late payment is computed at twenty percent (20%) per annum from the date the payment is due up to the date of full payment based on the basic tax payable in Item 19

20C. Please do not fill up this portion. You will be properly notified if any compromise penalty will be imposed.

20D. To get the total penalties, add Items 20A to 20C

Item 21. Balance Unapplied/(Deficiency)
To get this, deduct Item 20D from Item 20
Item 22. Payment Made Today
Indicate payment made per this return
Item 23. Balance to be Applied Against Subsequent Removals
To get this, add Items 21 and 22
 

Schedule I Excise Tax Due on Actual Removals of Tobacco Products Chargeable Against Payments

Column I - Refer to Applicable Alphanumeric Tax Code
Column 2 - Refer to Description of the Product/Articles Subject to Excise Tax
Column 3 - Refer to Unit of Measurement
Column 4 - Refer to Applicable Excise Tax Rate
Column 5 - Refer to Applicable Tax Base of the Products/Articles
Column 6 - Refer to Excise Tax Due (Excise Tax Rate x Tax Base )


Tax Tables
  BIR Form 2200-A Alcohol Products
  DISTILLED SPIRITS
 
ATC Description Tax Rate Tax Base
XA010 Produced from sap of coconut, nipa, cassava, camote, buri palm or sugarcane P 8.96 Proof Liter
XA020 Product in a pot still by small distillers (up to 100 liters/day and 50% alcohol volume) P 4.48 Proof Liter
XA031 Produced from raw materials other than aboveNet Retail Price per bottle of 750 ml volume capacity (excluding VAT and Excise Tax) is less than P250.00 P 84.00 Proof Liter
XA032 Net Retail Price per bottle of 750 ml volume capacity (excluding VAT and Excise Tax) is P250.00 up to P675.00 P168.00 Proof Liter
XA033 Net Retail Price per bottle of 750 ml volume capacity (excluding VAT andExcise Tax) is more than P675.00 P338.00 Proof Liter
XA040 Medicinal preparations, flavoring extracts and all other preparations, except toilet preparations, of which, excluding water, distilled spirits form the chief ingredient    
 
WINES
Sparkling Wines/Champagne, regardless of proof
 
ATC Description Tax Rate Tax Base
XA061 Net Retail Price per bottle (excluding VAT and Excise Tax) is P500.00 or less P112.00 Per Liter
XA062 Net Retail Price per bottle (excluding VAT andExcise Tax) is more than P500.00 P336.00 Per Liter
XA070 Still wines containing 14% or less alcohol P 13.44 Per Liter
XA080 Still wines containing over 14% but not over 25% alcohol P 26.88 Per Liter
XA090 Fortified wines containing more than 25% alcohol by volume (taxed as distilled spirits)   Proof Liter
 
FERMENTED LIQUORS
Beer, lager beer, ale, porter and other fermented liquors
 
ATC Description Tax Rate Tax Base
XA051 Net Retail Price per liter (excluding VAT and Excise Tax) is less than P14.50 P 6.89 Per Liter
XA052 Net Retail Price per liter (excluding VAT and Excise Tax) is less than P14.50 P 10.25 Per Liter
XA053 Net Retail Price per liter (excluding VAT and Excise Tax) is less than P14.50 P 13.61 Per Liter
 
BIR Form 2200-AN Non-Essential Products
AUTOMOBILE - Per Engine Displacement Gasoline
 
ATC Description Tax Rate Tax Base
XG020 Up to 1600 cc 15% Manufacturer's or Importers Selling Price*
XG030 Up to 2000 cc 35% Manufacturer's or Importers Selling Price*
XG040 Up to 2700 cc 50% Manufacturer's or Importers Selling Price*
XG050 2701 cc or over 100% Manufacturer's or Importers Selling Price*
* Note : Manufacturer's or Importers Selling Price* excludes VAT and Excise Tax
 
AUTOMOBILE - Per Engine Displacement

Diesel

ATC Description Tax Rate Tax Base
XG060 Up to 1800 cc 15% Manufacturer's or Importers Selling Price*
XG070 Up to 2300 cc 35% Manufacturer's or Importers Selling Price*
XG080 Up to 3000 cc 50% Manufacturer's or Importers Selling Price*
XG090 3001 cc or over 100% Manufacturer's or Importers Selling Price*
* Note : Manufacturer's or Importers Selling Price* excludes VAT and Excise Tax
 
Non-Essential Products
 
ATC Description Tax Rate Tax Base
XG100 Jewelry, pearls, precious and semi-precious, whether real or imitation 20% Wholesale PriceOr Value of Importations*
XG110 Perfumes and Toilet Waters 20% Wholesale PriceOr Value of Importations*
XG120 Yachts and other Vessels for Pleasure or Sports 20% Wholesale PriceOr Value of Importations*
*Note: Wholesale Price or Value of Importation excludes VAT and Excise Tax
 
BIR Form 2200-M Mineral Products
 
ATC Description Tax Rate Tax Base
XM020 Non-metallic minerals and quarry resources a) Locally extracted or produced

b) Imported

2 %

2 %

Actual Market Value of gross Output
Value of Importation
XM030 Gold and Chromite
a) Locally extracted or produced

b) Imported

2 %

2 %

Actual Market Value of gross Output
Value of Importation
XM040 Copper
a) Locally extracted or produced

b) Imported

2 %

2 %

Actual Market Value of gross Output
Value of Importation
XM050 Indigenous Petroleum 3 % Fair International price
XM051 Natural Gas or Liquefied Natural Gas (locally extracted) 2 % Actual Market Value of gross Output
XM101 Coal and Coke P10.00 Per metric ton
 
BIR Form 2200-P Petroleum Products
 
ATC Description Tax Rate Tax Base
XP010 Lubricating Oils P 4.50 Per Liter
XP020 Greases P 4.50 Per Liter
XP030 Processed Gas P 0.05 Per Liter
XP040 Waxes and Petrolatum P 3.50 Per Liter
XP050 Denatured alcohol used for motive power P 0.05 Per Liter
XP060 Unleaded Premium Gasoline P 4.35 Per Liter
XP070 Leaded Premium Gasoline P 5.35 Per Liter
XP080 Regular Gasoline P 4.80 Per Liter
XP090 Naptha P 4.80 Per Liter
XP100 Naptha to be used for petro-chemicals P 0.00 Per Liter
XP110 Aviation Gasoline
P 4.80 Per Liter
XP120 Aviation Turbo Jet Fuel P 3.67 Per Liter
XP130 Kerosene P 0.60 Per Liter
XP131 Kerosene used as aviation fuel P 3.67 Per Liter
XP140 Diesel Fuel Oil P 1.63 Per Liter
XP150 LPG used as Motive Power P 1.63 Per Liter
XP160 Liquefied petroleum gas
P 0.00 Per Liter
XP170 Asphalt
P 0.56 Per Liter
XP180 Bunker Fuel Oil and similar fuel P 0.30 Per Liter
XP190 Base stocks for lub, oils and greases, HVD, aromatic extracts, etc
P 4.50 Per Liter or Kg
 
BIR Form 2200-T Tobacco Products
 
ATC Description Tax Rate Tax Base
XT010 Smoking tobacco and other partially manufactured tobacco, except cigars and cigarettes P 0.75 Per kilo
XT020 Chewing tobacco P 0.60 Per kilo
XT030 Cigars P 1.12 Per cigar
XT040 Cigarettes packed by hand P 0.40 Per pack
  Cigarettes packed by machines
XT050 Net Retail Price (excluding VAT & Excise) exceeds P 10.00 per pack P13.44
Per pack
XT060 Net Retail Price (excluding VAT & Excise) is P6.51 up to P 10.00 per pack P 8.96 Per pack
XT070 Net Retail Price (excluding VAT & Excise) is P 5.00 up to P 6.50 per pack P 5.60 Per pack
XT130 Net Retail Price (excluding VAT & Excise) is below P 5.00 per pack P 1.12 Per pack
  Tobacco Inspection Fees
XT080 a) For Cigars P 0.50 Per 1000 pcs. or fraction thereof
XT090 b) For Cigarettes
P 0.10 Per 1000 pcs. Or fraction thereof
XT100 c) For leaf tobacco P 0.02 Per kilo or fraction thereof
XT110 d) For scraps and other manufactured tobacco products P 0.03 Per kilo or fraction thereof

Tax Deadlines

· For all Excise Tax Returns (BIR Form 2200-A Excise Tax Return for Alcohol Products; BIR Form 2200-AN Excise Tax Return for Automobiles and Non-Essentials; BIR Form 2200-M Excise Tax Return for Mineral Products; BIR Form 2200-P Excise Tax Return for Petroleum Products and BIR Form 2200-T Excise Tax Return for Tobacco Products)

· Producer or manufacturer - Before removal from place of production
· Importer - Before removal from customs custody
· Person in possession of untaxed articles -Upon discovery (with penalties)

Note: For each place of production, a separate return shall be filed.

Identified excise taxpayers duly informed in writing as such by the Commissioner of Internal Revenue, or his duly authorized representative, shall file a consolidated excise tax return.

 


· For Transcript Sheets of Excise Taxpayers

 
BIR Form No. Description Date of Submission

Tobacco Products

31.02 Transcript sheets of BIR Form No. 31.01 - record of raw materials for manufacturers of any class of tobacco products (L7) On or before 8th day of the month
31.19 Transcript sheets of BIR Form No. 31.18 - Official Registry Book (ORB) used manufacturers of cigars On or before 8th day of the month
31.28 Transcript sheets of BIR Form 31.27 - ORB used in removal and manufacturing Virginia cigarettes On or before 8th day of the month
31.47 Transcript sheets of BIR Form No. 31.46 -Auxiliary Register Book (l-7/12)
On or before 8th day of the month
38.02 Transcript sheets of BIR Form No. 38.01 - ORB used in cigarette paper On or before 8th day of the month
 

Leaf Tobacco

31.47 Transcript sheets of BIR Form No. 31.46 - ORB used in leaf tobacco received and removed On or before 8th day of the month
 

Alcohol Products

2.08A Transcript sheets of BIR Form No. 2.08 - ORB used in distilled spirits On or before 5th day of the month
2.12 Transcript sheets of BIR Form No. 2.11 - ORB used for crude spirits (Single Account for small distilleries)
On or before 5th day of the month
2.15 Transcript sheets of BIR Form No. 2.14 - ORB used for rectified spirits (Single Account for small distilleries)
On or before 5th day of the month
2.18 Transcript sheets of BIR Form No. 2.17 - ORB used by compounders of liquors
On or before 5th day of the month
2.18A Transcript sheets of BIR Form No. 2.17A - ORB used in imitation of wines A7-A
On or before 5th day of the month
2.21 Transcript sheets of BIR Form No. 2.20 - ORB used by Alcohol Plants/Rectifiers in Sales Account {also the ORB used in Compound Sales Account (for compounders)}
On or before 5th day of the month
2.37 Transcript sheets of BIR Form No. 2.36 - ORB for repackers of distilled spirits and wines On or before 5th day of the month
2.44 Transcript sheets of BIR Form No. 2.43 - ORB used in fermented liquors On or before 5th day of the month
2.68A Transcript sheets of BIR Form No. 2.68 - ORB used by denaturer for denatured alcohol
On or before 5th day of the month
2.69A Transcript sheets of BIR Form No. 2.69 - ORB used by manufacturer of denatured alcohol
On or before 5th day of the month
2.69-a
A-19
Transcript sheets of BIR Form No. 2.69A-19 - ORB used by denaturer of alcohol motive power
On or before 5th day of the month
2.70-a Transcript sheets of BIR Form No. 2.70 - ORB used by repackers of denatured alcohol On or before 5th day of the month
2.08A Transcript sheets of BIR Form No. 2.08 - ORB used in distilled spirits (single account for small distilleries) On or before 5th day of the month
 

Mineral Products

2223 Transcript sheets of BIR Form No. 2222 - ORB used in mineral products On or before 10th day of the month
 

Petroleum Products

2.83A Transcript sheets of BIR Form No. 2.83 - ORB used by manufacturer of lubricating oil (for blended manufactured lube oil) On or before 8th day of the month
2.61T Transcript sheets of BIR Form No. 2.61 - ORB used in oil manufacturing operations On or before 8th day of the month
 

Automobiles

  Transcript sheets of ORB - used by importers, manufacturers/assemblers and wholesalers of automobiles On or before 8th day of the month
 

Other Documents

 

On Automobiles

Manufacturer's/producer's/importer's sworn statements

 

On or before the end of each calendar semester

 

On Jewelry (for Qualified Jewelry Enterprises under RA 8502)

Manufacturer's/producer's/importer's sworn statements

 


Every January 15 and July 15 of each year

 

On Minerals and Mineral Product

Sworn statement by every lessee, concessionaire, owner or operator of mines or quarry, processor of minerals, producer or manufacturer of mineral products

Excise Tax Returns (Form No. 2200) to be filed by producers or manufacturer of metallic minerals and mineral products who posted a surety bond for the purpose of filing and payment of excise tax on a quarterly basis.



On or before the last working day of January of each year and every six months thereafter

Within fifteen (15) days after the end of each calendar quarter

 

On Fermented Liquor

Brewers' or importers' sworn statement of the volume of sales of each particular brand of fermented liquor

 

Within the first five (5) days of every month

 

On Tobacco Products

Manufacturer's and importers' sworn statement of the volume of sales of each particular brand of cigars and/or cigarettes sold.

Manufacturer's sworn statement to be filed by manufacturers of cigarettes, cigars and other products of tobacco

 

Within the first five (5) days of every month

On or before the tenth (10th) day of the month


Tax Forms

·BIR Form 2200-A Excise Tax Return for Alcohol Products
· BIR Form 2200-AN Excise Tax Return for Automobiles and Non-Essentials
· BIR Form 2200-M Excise Tax Return for Mineral Products
· BIR Form 2200-P Excise Tax Return for Petroleum Products
· BIR Form 2200-T Excise Tax Return for Tobacco Products


Related Revenue Issuances
Revenue Regulation No. 14-97, 14-99, 17-99 and 2-2000

Frequently Asked Questions

What are the kinds of Excise Taxes?
· Specific Tax - Excise taxes imposed on goods or articles based on weight or volume capacity or any other physical unit of measurements.

Ex. Greases - per kilogram Leaded premium gasoline - per liter

· Ad Valorem Tax - Excise taxes imposed on goods or articles based on selling price or other specified value of the goods.

Ex. Fermented Liquor - net retail price
Automobiles - manufacturer's or importer's selling price

 

What goods/articles are subject to Excise Tax?
· Alcohol Products

· Distilled Spirits (produced from sap of nipa, coconut, cassava, camote, buri palm or sugarcane and other raw materials)
· Wines (sparkling wine, champagne, still wines, fortified wines)
· Fermented Liquors ( beer, lager beer, ale, porter, and other fermented liquors except tuba, basi, tapuy and similar fermented liquors)

· Automobiles ( whether engine or gasoline fed , 1600 cc up to over 3001 cc engine displacement)

· Non Essential Products

· Jewelry, pearls, precious and semi-precious, whether real or immitation
· Perfumes and toilet waters
· Yachts and other vessels for pleasure or sports

· Mineral products

· Non-metallic minerals or quarry resources
· Gold and Chromite
· Copper

· Indigenous Petroleum

· Natural Gas or Liquefied Natural Gas (locally extracted)
· Coal and Coke
· Petroleum Products
· Lubricating Oils
· Greases
· Processed Gas
· Waxes and Petrolatum
· Denatured alcohol used for motive power
· Unleaded Premium Gasoline
· Leaded Premium Gasoline
· Regular Gasoline
· Naptha
· Aviation Gasoline
· Aviation Turbo Jet Fuel
· Kerosene
· Diesel Fuel Oil
· Liquefied Petroleum Gas (LPG)
· Asphalt
· Bunker Fuel Oil and similar fuel
· Base stocks for lube, oils and greases, HVD, aromatic, extracts

· Tobacco Products

· Smoking tobacco and other partially manufactured tobacco except cigar and cigarette
· Chewing tobacco
· Cigars
· Cigarettes, whether packed by hand or by machine
· Tobacco Inspection Fees

 

Who are required to register with the BIR?
· For Alcohol Products

· Any person or entity may engage in business as distiller, manufacturer, producer, repacker, denaturer, wholesale dealer, or importer of distilled spirits and wines and must be duly registered with the Bureau of Internal Revenue as such.

· For Fermented Liquor

· Any person or entity may engage in business as brewer, operator of micro- brewery or micro brew pub, wholesale dealer, wholesale peddler or importer and must be duly registered with the Bureau of Internal Revenue as such.

· For Tobacco Products

· Any person or entity who wants to engage in manufacturing, importing or selling at wholesale cigar and cigarettes, smoking and chewing tobacco and other manufactured tobacco and tobacco products must first secure the necessary permit to operate as such from the Commissioner of Internal Revenue.

· For Petroleum Products

· Any person or entity desiring to engage in business as manufacturer, importer or repacker of petroleum products should apply in writing with the Commissioner, through the Revenue District Officer having jurisdiction over his place of production, by filing application for registration.

· For Minerals and Mineral Products

· On Locally extracted Minerals, mineral products and quarry resources

· All lessees, concessionaires, owners or operators of mines, processors of minerals, licensees or permittees of quarry/mines, producers or manufacturers of mineral products, whether natural or juridical persons must register with the Bureau of Internal Revenue.

· For Automobiles

· Any person or entity desiring to engage in business as manufacturer/assembler importer of automobiles for resale should apply in writing with the Commissioner of Internal Revenue, through the Revenue District Officer having jurisdiction over his place of production, by filing application for registration (1901 or 1903) as the case may be.

· For Non-Essential Goods

· Any person or entity who wants to engage in the business as manufacturer or importer of non-essential goods must first secure the necessary permit to operate as such from the Commissioner of Internal Revenue.

  Who are required to file Excise Tax Return?
  · BIR Form 2200-A Excise Tax Return for Alcohol Products
 

· Manufacturer or producer of locally manufactured or produced alcohol products
· Owner or person having possession of the alcohol products which were removed from the place of production without the payment of excise tax
· Importers of alcohol products

  · BIR Form 2200-AN Excise Tax Return for Automobiles and Non-Essentials Products
 

· Manufacturer, producer or assembler of locally manufactured products/ assembled automobiles
· Manufacturer or producer of locally manufactured or produced jewelries, perfumes, toilet water, yachts, and other vessels intended for pleasure or sports (non-essentials)
· Buyer or transferee of automobile not previously taxed and subsequently sold or transferred by the tax-exempt entity-seller
· Owner or person having possession of the above articles which were removed from the place of production without the payment of excise tax
· Importers of any of articles considered as automobiles and non-essentials

  · BIR Form 2200-M Excise Tax Return for Mineral Products
 

· Owner, lessee, concessionaire or operator of mining claims
· First buyer, purchaser or transferee for local sale, barter, transfer or exchange of indigenous petroleum, natural gas or liquefied natural gas
· Owner or person having possession of the mineral and mineral products which were mined, extracted or quarried without the payment of excise tax
· Importer of minerals and mineral products

  · BIR Form 2200-P Excise Tax Return for Petroleum Products
 

· Manufacturer or producer of locally manufactured or produced petroleum products
· Any person engaged in reprocessing, re-refining or recycling of petroleum products previously taxed
· Importer or purchaser who resells or uses kerosene as aviation fuel
· Any person using denatured alcohol for motive power
· Owner or person having possession of petroleum products which were removed from the place of production without the payment of excise tax
· Importer of petroleum products

  · BIR Form 2200-T Excise Tax Return for Tobacco Products
 

· Manufacturer or producer of locally manufactured or produced tobacco products
· Wholesaler, manufacturer, producer, owner or operator of the redrying plant, as the case maybe, with respect to the payment of inspection fee on leaf tobacco, scrap, cigars, cigarettes and other tobacco products
· Owner or person having possession of tobacco products which were removed from the place of production without the payment of excise tax
· Importer of tobacco products

  What are the procedures in the filing of Excise Tax Returns?
 

· BIR Form 2200-A; 2200AN; 2200M; 2200P and 2200T - File in triplicate (two copies for the BIR and one copy for the taxpayer) with the Authorized Agent Bank (AAB) of the place where the taxpayer is registered or required to be registered. In places where there are no AABs, the return will be filed directly with the Revenue Collection Officer or duly Authorized Treasurer of the city or municipality wherein a person has his legal residence or principal place of business, or if there is none, with the office of the Commissioner

 

Note: Identified excise taxpayers duly informed in writing as such by the Commissioner of Internal Revenue, or his duly authorized representatives, will file a consolidated Excise Tax Return and pay the Excise Tax due with the Authorized Agent Bank located in the BIR National Office, Diliman, Quezon City.

  What do the following words/phrases mean?
 

For Excise Tax purposes, the following words and phrases shall mean:

  · For Distilled Spirits
 

· Distilled Spirits or Spirits - refer to the substance known as ethyl alcohol, ethanol or spirits of wine, including all dilutions, purification and mixture thereof from whatever source by whatever process produced and shall include whisky, brandy, rum, gin, vodka and other similar products or mixtures.
· Whisky - an alcoholic distillate from cereals such as rye, corn barkley malt and wheat.
· Brandy - a distillate or a mixture of distillates obtained solely from fermented juice or mash of fruits.
· Rum - distilled alcohol beverages prepared by fermentation, distillation and aging of sugar cane products (i.e. sugar cane juices, molasses).
· Gin - an alcoholic liquid obtained by redistilling pure spirits over juniper berries and other aromatics, such as orange and lemon peels, sweet almond and cinnamon barks, etc.
· Vodka - spirit obtained from potato by distillation.
· Compounded Liquor - refers to any intoxicating beverages produced by the mixture of distilled spirits with other substances such as flavoring extracts or essences, coloring materials, water, juice, or any kind of liquor, wine or other ingredient.
· Denatured Alcohol - refers to ethyl alcohol mixed with denaturing materials or substances to render such alcohol unfit for human consumption or oral intake.· Duly registered or existing brands of alcohol products - refer to existing or active brands of alcohol products that are duly registered with the BIR prior to January 1, 1997.
· Fortified wines - refer to natural wines to which distilled spirits are added to increase their alcohol strength.
· Gauge Liter (GL) - refers to the actual volume of the liquor measured express in liter consisting of 1,000 milliliters (ml.) or 1,000 cubic centimeter (cc).
· Liquor - refers to a generic term embracing all intoxicating drinks or alcoholic beverages.
· Medicinal Preparations - refer to distilled spirits or substances prepared as a medicine for curing, alleviating or palliating or preventing some disease or infection of the human body.
· Metro Manila and Regions - refer to the political sub-divisions of Metro Manila and other Regions as provided for by the Local Government Code.
· Net Retail Price - refers to the price at which alcohol products are sold on retail excluding the excise tax and value added tax imposed on such products.
· Current Net Retail Price - the net retail price at which the distilled spirits and wines are sold on retail in ten (10) major supermarkets or retail outlets in Metro Manila are marketed nationally; and for brands which are marketed outside Metro Manila, the price at which the same are sold on retail in five (5) major super markets or retail outlets in the region.
· Suggested Net Retail Price - the net retail price at which new brands of locally manufactured or imported distilled spirits and wines are intended by manufacturer or importer to be sold on retail in major supermarkets or retail outlets in Metro Manila (for those marketed nationwide), and in other regions (for those with regional markets).
· New Brands - refer to any brand of distilled spirits and wines introduced in the market on or after January 1, 1997, and shall include previously registered but inactive brands of distilled spirits and wines.
· Proof Liter - refers to equivalent in a liter of proof spirits of the liquor measured.
· Proof spirits - refer to liquor containing fifty percent (50%) alcohol by its volume with a specific gravity of seven thousand nine hundred thirty nine ten thousandth (0.7939) at fifteen degrees centigrade (15°C).
· Rectified Alcohol - refers to ethyl alcohol that has undergone refining, purifications through distillation by fractional or repeated distillations.
· Sparkling Wine - refers to an effervescent table wine which is carbonated by either secondary fermentation or carbonation usually white but occasionally red in color, containing an average of 12% alcohol by volume which is carbonated by secondary fermentation. This includes champagne.
· Still wine - refers to a wine that is not effervescent (bubbling) or wine that is not carbonated and bottled after fermentation has been completed.
· Variant of Brands - refers to any brand of alcohol products on which a modifier is prefixed and/or suffixed to the root name of a brand and/or different brand which carries the same logo or design of the existing branch, such as the following:

 

· Modifier is Prefixed - Example: A registered existing "ABC" brand manufactured as "Premium ABC" or "Top ABC"
· Modifier is Suffixed - Example: A registered existing "ABC" brand manufactured as " ABC Dry" or "ABC Supreme"
· A different branch which carries the same logo or design of the existing brand - Example: A registered existing "ABC" brand carrying the logo, badge, emblem, or mark in the shape of horseshoe is manufactured as "XYZ" brand carrying the same shape of horseshoe logo, badge, emblem or mark or a registered and existing "XYS" brand carrying two (2) horizontal stripes with red and white colors is manufactured as a new "ABC" brand carrying the same set of stripes and colors

 

· Volume of Sales - refer to the total quantity or volume of removals of distilled spirits and wines sold to wholesaler or retail customers.
· Wines - refer to all alcoholic beverages produced by fermentation without distillation from the juice of any kind of fruit.
· Primary Raw Materials - refer to the major or primary parts or components used in the production of the finished product.
· Place of Production - refers to an area designated by a manufacturer as depicted in the factory plot and plan submitted to and approved by the Commissioner of Internal Revenue or his duly authorized representative wherein the process of producing or manufacturing distilled spirits and wines are done until the same shall have been produced and ready for sale.
· Toilet Preparations - refer to scented alcoholic or non-alcoholic preparations primarily used as body fragrance containing essential oils. This includes perfumes and toilet waters which are considered non-essential articles subject to Excise Tax under Section 150 of the Tax Code.

· For Fermented Liquor

· Fermented Liquor - brewed preparations from infusion of grains that have undergone sprouting (malting) and the fermenting of the sugar solution by yeast into alcohol and carbon dioxide such as beer, lager beer, ale, porter and other fermented liquor such as draft beer, and other similar products.
· Lager Beer - stored beer which is rather high in alcohol content.
· Ale - pale in color, tart in taste, high in alcohol content and contains more hops than beer.
· Porter - dark ale, high in extract and sweeter than the usual ale in taste. The flavor of the hops is less distinct than that in normal ale.
· Basi - an alcoholic beverage produced by the fermentation of sugar cane juice with usual alcohol content from 8% to 14% in accordance with variety, maturity of the cane and other conditions.
· Tapuy - fermented wine from rice.
· Tuba - a product of natural fermentation of unfermented coconut palm juice or toddy.
· Manufacturer - refers to natural or juridical persons engaged in the production and/or persons for whom fermented liquor is produced.
· Owner/Possessor - refers to natural or juridical persons who owned and/or in possession of the goods. (In case of Imported Fermented Liquor, owner/ possessor means the importer and/or consignee designated in the bill of lading, or the person to whom the bill of lading has been duly assigned or indorsed. In short, the importer is the owner of the goods at the time of withdrawal thereof from the custom house.)
· Gauge Liter (GL) - refers to the actual volume of the liquor measured expressed in liter consisting of 1,000 milliliters (ml.) or 1,000 cubic centimeter (cc).
· Wholesale Dealer - embraces every person who, for himself or on commission, sells or offers for sale foreign or domestic fermented liquors in large quantities of more than five liters at any one time, or who, for himself or on commission, sells or offers for sale foreign or domestic fermented liquors to other persons for the purpose of resale, irrespective of the quantity of the fermented liquors sold.
· Retail Dealer - includes every person except retail dealers in tuba, basi and tapuy, who for himself or on commission sells or offers for sale foreign or domestic fermented liquors in quantities of five liters or less at any one time and not for sale.
· Wholesale Peddler - includes every person who either, for himself or on commission, travels from place to place in town or country and sells or offers for sale and delivery foreign or domestic fermented liquors in large quantities of more than five liters at any time, or who, for himself or on commission, sells or offers for sale and delivery foreign or domestic fermented liquors to other person for purposes of resale, irrespective of the quantity of the fermented liquors sold.
· Retail Peddler - embraces every person either for himself or on commission who travels from place to place in town or country and sells or offers for sale and delivery foreign or domestic fermented liquors in quantities of vie liters or less any one time and not for resale.
· Duly registered or existing brands - refer to existing or active brands of fermented liquors that are duly registered with the BIR prior to January 1, 1997.
· Metro Manila and Regions - refer to the political sub-divisions of Metro Manila and other Regions as provided for by the Local Government Code.
· Net Retail Price - refers to the price at which alcohol products are sold on retail excluding the Excise Tax and Value-Added Tax imposed on such products.
· Current Net Retail Price - the net retail price at which the fermented liquors are sold in retail in twenty (20) major supermarkets or retail outlets in Metro Manila which are marketed nationally, and for brands which are marketed outside Metro Manila, the price at which it is sold on retail in five (5) major super markets or retail outlets in the region.
· Suggested Net Retail Price - the net retail price at which new brands of locally-manufactured or imported fermented liquors are intended by manufacturer or importer to be sold on retail in major supermarkets or retail outlets in Metro Manila (for those marketed nationwide), and in other regions (for those with regional markets).
· New Brands - refer to any brand of distilled spirits and wines introduced in the market on or after January 1, 1997 which include previously registered but inactive brands of fermented liquors.
· Variant of Brands - refers to any brand on which a modifier is prefixed and/or suffixed to the root name of a brand and/or different brand which carries the same logo or design of the existing branch, such as the following:

· Modifier is Prefixed - Example: A registered existing "ABC" brand manufactured as "Premium ABC" or "Top ABC"
· Modifier is Suffixed - Example: A registered existing "ABC" brand manufactured as " ABC Dry" or "ABC Supreme".
· A different branch which carries the same logo or design of the existing brand - Example: A registered existing "ABC" brand carrying the logo, badge, emblem, or mark in the shape of horseshoe is manufactured as "XYZ" brand carrying the same shape of horseshoe logo, badge, emblem or mark or a registered and existing "XYS" brand carrying two (2) horizontal stripes with red and white colors is manufactured as a new "ABC" brand carrying the same set of stripes and colors

· Volume of Sales - refer to the total quantity or volume of removals of distilled spirits and wines sold to wholesaler or retail customers.
· Removal From the Place of Production - removal from the company premises as indicated in the approved plot and plan where the brewery is located.
· Brewer - includes all persons who manufacture or reconstitute fermented liquors of any description for sale or delivery to others, but does not include manufacturers of tuba, basi, or tapuy or similar domestic fermented liquors.
· Micro-Brewery - a beer production facility smaller than the regular brewery equipped with fermentation and brewing tanks capable of producing beer from malt, hops and other ingredients. Its production output are sold to customers either in bottles, cans or placed in keg barrels.
· Micro-Brew Pub- a delineated area in a Pub House equipped with beer production facilities such as fermentation and brew tanks capable of producing beer directly from raw malt, hops and other ingredients, which are sold directly to the customers through a dispenser connected directly to the sales counter.
· Brand of Product - a name or trademark used to identify a product or group of products of a particular manufacturer and duly registered with the BIR.

· For Tobacco Products

· Bar Code - symbol consisting of article numbers represented by a machine readable print to define its specifications. The bar code consists of a series of light and dark parallel "bars".
· Chewing tobacco - all treated cake or pressed flattened tobacco intended for chewing only.
· Cigarette paper - any paper of whatever color, brand, texture, length, breath in bobbins or rolls used or intended to be used in the manufacture of cigarettes, but does not include paper cut into convenient sizes, ion ads or booklets or similar forms intended to be used for making cigarette by the hand.
· Cigarettes - all rolls of tobacco or any substitute therefor, wrapped with cigarette paper.
· Cigars - all rolls of tobacco or any substitute therefor wrapped with tobacco.
· Duly registered or existing brands - refer to existing or active brands of cigarettes that are duly registered with the BIR prior to January 1, 1997.
· Fuson stamp - means a custom-printed multi-colored decal heat-fused to the receiving surface, such as cellophane or polypropylene of each cigar and cigarette package.
· Importer - any person bringing in from a foreign country cigars, cigarettes and other tobacco products which are intended for sale, for personal use or for use in business.
· Leaf tobacco - means a whole leaf of tobacco or leaf tobacco in its complete form.
· Manufactured products of tobacco - include cigars, cigarettes, smoking tobacco, chewing tobacco, snuff and all other forms of manufactured products of tobacco.
· Manufacturer of tobacco products - every person whose business is to manufacture tobacco products or snuff or one who employs others to manufacture tobacco products or snuff in its behalf, whether such manufacture is by cutting, pressing (not balancing), grinding, or rubbing (grating) any raw or leaf tobacco or otherwise preparing raw or leaf tobacco, or manufactured tobacco and snuff, or putting up for consumption scraps, refuse or stems of tobacco resulting from any process of handling tobacco stems, scraps, clippings or waste by sifting, twisting, screening or by any other process.
· Net Retail Price - refers to the price at which cigarettes are sold excluding the Excise Tax and Value-Added Tax imposed on such products.
· Current Net Retail Price - the net retail price at which the cigarettes are sold in retail in twenty (20) major supermarkets or retail outlets in Metro Manila which are marketed nationally; and for brands which are marketed only outside Metro Manila, the price at which it is sold on retail in five (5) major super markets or retail outlets in the region.
· Suggested Net Retail Price - the net retail price at which new brands of locally manufactured or imported cigarettes are intended by manufacturer or importer to be sold on retail in major supermarkets or retail outlets in Metro Manila (for those marketed nationwide), and in other regions (for those with regional markets).
· Partially manufactured tobacco shall include the following:

· Stemmed leaf (standard) - hand stripped tobacco of clean, good unbroken leaf only, free from mold and dust.
· Long filer (standard) - hand stripped tobacco or good long pieces of broken leaf usable as filler for cigars without further preparation and free from mold, dust, stems and cigar cuttings
· Short filer (standard) - hand stripped or machine stripped tobacco clean good short pieces or broken leaf which will not pass through a screen of two- inch (2") mesh.
· Cigar-cuttings - cuttings or clippings from cigars, unmixed with any other form of tobacco.
· Machine-scrap tobacco - machine threshed clean good tobacco not included in any of the above terms usable in the manufacture of products.
· Stem - midribs of leaf tobacco.
· Waste tobacco - fine cut shorts, scraps, refuse, powder, or dust, or sweeping of tobacco unfit for human consumption or discarded materials in the manufacture of tobacco products and manufactured products of tobacco, which may include stems.

· Smoking tobacco - any fine or rough-cut tobacco not rolled or wrapped and ready for smoking
· Snuff tobacco - any specially prepared powdered tobacco
· Stemmed leaf tobacco - means leaf tobacco which has had the stem or midrib removed. The term does not include broken leaf tobacco.
· Tobacco products - raw or leaf tobacco that has undergone processing such as pressing and drying without distorting its original form and partially manufactured tobacco. It shall also include recycled or homogenized tobacco ready for use as raw materials in the production of cigars, cigarettes and other manufactured products of tobacco.
· Variant of Brands - refers to any brand on which a modifier is prefixed and/or suffixed to the root name of a brand and/or different brand which carries the same logo or design of the existing brand such as the following:

· Modifier is Prefixed - Example: A registered existing "ABC" brand manufactured as "Premium ABC" or "Top ABC"
· Modifier is Suffixed - Example: A registered existing "ABC" brand manufactured as " ABC Dry" or "ABC Supreme"
· A different branch which carries the same logo or design of the existing brand - Example: A registered existing "ABC" brand carrying the logo, badge, emblem, or mark in the shape of horseshoe is manufactured as "XYZ" brand carrying the same shape of horseshoe logo, badge, emblem or mark or a registered and existing "XYS" brand carrying two (2) horizontal stripes with red and white colors is manufactured as a new "ABC" brand carrying the same set of stripes and colors

· Volume of Sales - means the volume and value of sales per brand locally manufactured or imported cigars and cigarettes that are sold, transferred or exchanged by manufacturers or importers of such articles to wholesalers, dealers or consumers.
· Wholesale dealer of manufactured tobacco products - refer to a person who, for himself, sells or offers for sale, cigars, cigarettes or other manufactured tobacco products in quantities of not less than two hundred (200) cigars, eight hundred (800) sticks of cigarettes or five (5) kilos of manufactured tobacco at any one time or who sells or offers the same for the purpose of resale, regardless of quantity.

· For Petroleum Products

· Petroleum Products - products formed in the course of refining crude petroleum through distillation, cracking, solvent refining and chemical treatment coming out as refinery stocks from the refinery such as but not limited to LPG, Naptha, gasoline, solvent, kerosene, aviation fuels, diesel oils, fuel oils, waxes and petrolatums, asphalts, bitumens, coke and refinery sludges, or such refinery petroleum fractions which have not undergone any process or treatment as to produce separate chemically-defined compounds in a pure or commercially pure state and to which various substances may have been added to make them suitable for particular uses; Provided, that the resultant product contains not less than fifty percent (50%) by weight of such petroleum products.
· Repacker - one who regularly buys petroleum products in bulk or in original containers and transfers or places them into small containers "as is" for resale, without undergoing any processing, alterations or changes in any manner.
· Reprocessing - synonymous to "manufacturing" which refers to the physical or chemical process which alters the exterior texture of form or inner substance of any raw material or manufactured or partially manufactured product in such a manner as to prepare it for a special use or uses to which it could not have been put in its original condition, or any such process which alters the quality of any such raw materials or manufactured or partially manufactured product as to reduce it to marketable state or prepare it for any of the use of industry, or by any such process which combines or blends any such raw materials or manufactured or partially manufactured products with other materials or products of the same or different kinds and in such manner that the finished product of such process or manufacture can be put to a special use to which such raw materials or manufactured or partially manufactured products, or combines the same to others and not for his own use or consumption.
· Asphalt - a dark brown to black cementation material (solid, semi-solid or liquid in consistency) in which the predominating constituents are bitumens. Petroleum asphalt, as distinguished from asphalt occurring as such in nature, is refined from crude petroleum into commercial grades of widely varying consistency. Asphalt is a natural constituent of asphaltic-base crude oils, some of which are refined primarily for its recovery.
· Aviation turbo jet fuel - kerosene-type fuels or blends of gasoline, distillate and residual oils which are used as fuels for gas turbine powered aircraft.
· Basetock - a residue left from distillation or refining or the bottom products derived from distillation.
· Diesel fuel oil - fuel used in diesel engines, generally a gas oil or a gas-oil base. Three classifications are recognized in ASTM D 975 based on the type of engine and service, ranging from kerosene through light, intermediate and viscous gas oils including blends of the last-named residual fuels.
· Downgrading of petroleum products - a reclassification of contaminated or "off-spec" product to a product subject to a lower rate of Excise Tax without undergoing any reprocessing or blending.
· Fuel oils - any liquid or liquifiable petroleum product burned for the generation of heat in a furnace or firebox or for the generation of power in an engine, exclusive of oils with a flash point below 100 degrees Fahrenheit (tag-closed tester) and oils burned in cotton or wool-wick burners. Five grades of fuel oil for various types of oil-burning equipment are classified in ASTM D 396.
· Gasoline - volatile mixture of liquid hydrocarbons generally containing small amount of additives suitable for use as fuel in spark ignition internal combustion engines.
· Grease, Lubricating - a solid or semi-solid lubricant consisting of a thickening agent in a fluid lubricant. The liquid is generally a petroleum lubricating oil. The thickening agent may be soap or other materials.
· Kerosene - a refined petroleum distillate suitable in properties for use as an illuminant when burned in a wick lamp with a required flash point higher than 73 degrees Fahrenheit by the standard test for flash point, ASTM D 56. Synonymous terms are lamp oil, burning oil, illuminating oil and range oil when the product is used in space heaters.
· Leaded premium gasoline - a gasoline containing a maximum of 0.150 gram per liter lead additive and minimum octane number of 93 Research Octane Number (RON).
· Liquified petroleum gas - industry terms for any material composed predominantly of the following hydrocarbons or mixtures of them: propane, propylene, butanes (normal or isobutane), and butylenes recovered from natural and refinery gases and kept under pressure in a liquid state, they are marketed in liquid form for industrial and domestic use as gas.

· For Minerals and Mineral Products

· Minerals - all naturally occurring inorganic substance in solid, gas, liquid or any intermediate state excluding energy materials such as coal, petroleum, natural gas, radioactive materials and geothermal energy.
· Mineral products - things produced and prepared in a marketable state by simple treatment processes such as washing or drying, but without undergoing any chemical change or process or manufacturing by the lessee, concessionaire or owner of mineral lands.
· Mineral lands - lands in which minerals exist in sufficient quantity and grade to justify the necessary expenditures in extracting and utilizing such minerals.
· Mineral concentrates - the product obtained by concentrating disseminated or lean ores by mechanical means, without altering their original chemical composition, to separate the undesirable minerals and/or other constituents.
· Lessee - may include a lease holder, claim owner or operator, quarry licensee or permittee.
· Quarry resources - any common rock or other mineral substances as the Director of Mines and Geo-Sciences Bureau may declare to be quarry resources such as, but not limited to, andesite, basalt, conglomerate, coral sand, diatomaceous earth, diorite, decorative stones, gabbro, granite, limestone, marble, marl, red burning clays for potteries and bricks, rhyolite, rock phospate, sandstone, serpentine, shale, tuff, volcanic cinders and volcanic glass; Provided, that such quarry resources do not contain metals or metallic constituents and/or other valuable minerals in economically workable quantities: Provided further, that non-metallic minerals such as kaolin, feldspar, bull quartz or silica, sand and pebbles, bentonite, talc, asbestos, barite, gypsum, bauxite, magnesite, dolomite, mica, precious and semi-precious stones and other non-metallic minerals that may later be discovered and which the Director of Mines and Geosciences Bureau declares the same to be economically workable quantities shall be classified under the category of quarry resources.
· Gross Output - shall be interpreted as the actual market value of minerals or mineral products, or of bullion from each mine or mineral lands operated as a separate entity without any deduction from mining, milling, refining (including all expenses incurred to prepare the said minerals or mineral products in a marketable state) as well as transporting, handling, marketing, or any other expenses, except as provided by the Tax Code, as amended.
· Indigenous petroleum - includes locally extracted mineral oil, hydrocarbon gas, bitumen, crude asphalt, mineral gas and all other similar or naturally associated substances, with the exception of coal, peat, bituminous shale and/or scratified mineral deposits.
· Natural Gas - refers to a mixture of naturally occurring hydrocarbon gases of the paraffin series, at varying proportions with methane predominating. It may exist in isolation or associated with crude oil.
· Liquefied Natural Gas - refers to a natural gas which has been liquefied by compression and/or cooling to an extremely low temperature.
· Integrated Operations - interpreted as operations of an establishment or company engaged in the manufacture of products or articles such as cement, ceramic, glass products/ware, bottles, concrete products, iron or steel or any products using minerals or quarry resources as raw materials extracted or quarried from the mine or quarry owned, leased or operated by the same establishment or company.
· Quarry Cost - includes all costs and expenses involved in the extraction of the minerals.
· Cost of Goods Sold - the cost of production of finished goods sold in a given period.
· Fair International Market Price - refers to the price quotations posted in accordance with regulations promulgated by the Department of Finance, upon recommendation of the Commissioner of Internal Revenue in consultation with an appropriate government agency.
· World Price Quotation - refers to the price quotations posted in a foreign metal exchange considered by majority of metal traders, producers and consumers as the main terminal market of the world metal industry.
· Average Selling Price - refers to the average price based on the number of fluctuations during a given period.
· First Taxable Sale, Barter, Exchange or Similar Transaction - means the transfer of indigenous petroleum in its original state to a first taxable transferee.

· For Automobiles and other Motor Vehicles

· Automobile - defined as a four (4) or more wheeled vehicle other than trucks, as defined Under RA 1188, which is propelled by gasoline, diesel, or any other motive power specially designed for the transport of persons and not used primarily for carrying freight and merchandise. Provided, that its seating capacity shall be less than ten (10) adult passengers including the driver. Provided further, that the sizes of the passenger seats shall not be less than 35 centimeters wide and 60 centimeters long. It shall include utility or light commercial vehicles designed for passenger use with seating capacity of less than ten (10) adult passengers, including the driver.
· Light Commercial Vehicle (LCV) - motor vehicle other than an AUV that may be classified as a light truck such as commuter van or any other four-wheeled drive vehicle with gross vehicle weight of up to three (3) tons which are used primarily for carrying passengers.
· Asian Utility Vehicle (AUV) - an originally Philippine designed low-cost utility vehicle with a higher-local content than an LCV and a gross vehicle weight of up to three (3) tons.
· Special Purpose Vehicle - refers to vehicle for specific applications such as cement mixer, fire truck, ambulance and/or medical unit, armored military vehicle, crane truck, off-road vehicle, luxury tourist bus with specialized body, etc.
· Completely Knocked Down (CKD) - refers to parts and components for assembly purposes that are imported in disassembled condition. The CKD pack, however, may include not only parts and components but also sub-assembled and assemblies such as engine, transmission, axle assemblies, chassis and body assemblies.
· Semi-Knocked Down (SKD) - refers to parts and components for assembly purposes that imported in partially assembled conditions. SKDs include semi-assembled vehicles.
· Completely Built-Up (CBU) - refers to vehicles imported in completely assembled form and ready for use by the consumers.
· Manufacturers/assemblers (in case of locally manufactured/assembled automobiles) - refer to the person who combines body frame/chassis, engine, drive train, suspension and other automotive parts or one who alters any part of a vehicle to render it fit for the transport of passengers or vehicles that meet the specifications of an automobile ready for use as defined herein in such a manner as to render a vehicle fit for registration with the Land Transportation Office.
· Importer (in case of imported vehicles) - refers to any person bringing in from a foreign country automobiles which are intended for sale, for personal use, or for use in business.
· Non-tax exempt persons found in possession of the untaxed or tax-exempt automobiles - any person, natural or juridical, with whom or in which the manufacturer or importer has no proprietary interest, directly or indirectly, who purchases from the manufacturer or importer for purposes of sale or subsequent distribution to the end-user or ultimate consumer.
· Place of Production - refers to an area designated by a manufacturer or assembler as depicted in the factory plot and plan submitted to and approved by the Commissioner of Internal Revenue or his duly authorized representative, wherein the process of manufacturing or assembling the motor vehicles are done until the same shall have been completely finished and ready for sale.

· For Non Essential Goods

· Non-essential goods - include goods commonly or commercially known as jewelry, pearls, precious and semi-precious stones and imitations thereof, opera glasses, lorgnettes, perfume and toilet waters, yacht and other vessels intended for pleasure or sports.
· Precious metals - include platinum, gold, silver and other metals of similar or greater value.
· Imitations thereof - includes platings and alloys of such precious metals.
· Perfumes - refer to finished products consisting of fragrant materials, such as concentrates (pastry essential oil) or absolutes (residual pleasantly odorous substance after extraction) dissolved in alcohol or in any other appropriate solvent with adjuvant and fixatives (retardant to rate of evaporation of the pleasantly odorous constituents) as stabilizers.
· Toilet waters - refer to scented alcoholic or non-alcoholic preparations primarily used as body fragrance containing essential oils (examples: Lavender Water, Eau de Cologne, Eau de Toilette).
· Yacht - refers to a boat propelled by a sail or motor used for pleasure trips, private cruising, racing and the like.
· Intended for pleasure or sports (for purposes of classifying yachts and other vessels) - refer to the primary purpose for which the yacht or vessel was manufactured based on the manufacturer's product description, specification or design such as cabin cruisers, sloops, speed boats, racing yawls and the like.
· Opera Glass - refers to a binocular telescope of small size, suitable for use at the theater in order to have a better view of the performers and the stage play being presented.
· Lorgnette - refers to long-handled opera glass or a pair of eyeglasses with an ornamental handle into which they may be folded when not in use.
· Spectacles - refer to a pair of eyeglasses with hinged bows to secure them before the eyes, used to correct defects in vision, or to protect the eyes as from glare.
· Eyeglasses - refer to any pair of lenses or lens usually in a frame that is used to help or correct faulty vision.
· Silverplated wares - refer to any manufactured articles or products, such as tableware, glassware and the like, plated or coated with a thin layer of silver.
· Brand of product - refers to a name or trademark used to identify a product or group of products of a particular manufacturer and duly registered with the BIR.
· Wholesaler/distributor - refers to any person, natural or juridical, with whom or in which the manufacturer or importer has no proprietary interest, directly or indirectly, who purchases goods or products from the manufacturer or importer for purposes of sale or subsequent distribution or resale.
· Retailer - refers to any one who purchases goods for purposes of selling the same in small quantities directly to the end user or ultimate consumer.
· Wholesale price - refers to the price, net of Excise Tax and Value-Added Tax, at which the goods are sold to the public at wholesale in the place of production or through their sales agents. If the manufacturer also sells or allows such goods to be sold at wholesale in another establishment of which he is the owner or the profits of which he has an interest thereto, the wholesale price in such establishments shall constitute the gross selling price. Should such price be less than the cost of manufacture plus expenses incurred until the goods are finally sold, then a proportionate margin of profit, not less than 10% of such manufacturing cost and expenses shall be added to constitute the gross selling price.
· Model - refers to the manufacturer's given nomenclature of the non-essential good(s) more specifically that of yachts and other vessels intended for pleasure or sports. It shall also refer to the name used to identify a product or group of products of a particular manufacturer or importer and duly registered with the BIR.
· Primary Raw Materials - refer to the major or primary components of the finished product.
· Place of production - refers to an area designated by a manufacturer as depicted in the factory plat and plan submitted to and approved by the Commissioner of Internal Revenue or his duly authorized representative, wherein the processes of producing or manufacturing the non-essential goods are done until the same shall have been completely finished and ready for sale.
· Importer - refers to any person bringing in from a foreign country non-essential goods which are intended for sale, for personal use, or for use in business.
· Off-spec product - refers to a product below or outside the standard specifications set forth by the manufacturer.