May 4, 2010
BIR RULING [SB-(002) 020-10]
Sec. 32 (b) (6) (b); DA-383-06; DA-627-07; BIR Ruling No. 093-83
Kings Mills, Inc.
Rm. 1501 Tytana Building
Plaza Lorenzo Ruiz, Binondo, Manila
Attention: Mr. Howard A. Chia
Vice President
Gentlemen :
This refers to your letter dated February 10, 2010 requesting in behalf of your employee, Nestor D. Aguila, for tax exemption for the medical termination benefits pursuant to Section 32 (b) (6) (b) of the Tax Code of 1997. ECcTaS
It is represented that Nestor D. Aguila, 54 years of age, and a regular employee of Kings Mills, Inc. from November 25, 1976 to January 20, 2010 was forced to retire upon recommendation of his doctor that he was no longer fit to work because of his current sickness, Coronary Heart Disease, Three-Vessel Involvement; and that since this is a type of involuntary separation, hence this request.
In reply, please be informed that pursuant to Section 32 (B) (6) (b) of the Tax Code of 1997, any amount received by an official or employee or by his heirs from the employer as a consequence of separation of...
