October 30, 2009
BIR RULING [SB-(048) 686-09]
32 (B) (6) (b); RR 2-98; DA-283-06
Ms. Betty Siy-Yap
No. 7 Caroline Street, Parkway Village
Quezon City
Madam :
This refers to your letter dated September 8, 2009 requesting for a ruling that your share in the Andersen Worldwide Fund ("AW Fund") that you will receive as part of your separation benefit as a dissenting and/or separated partner of SGV & Co., which separation and/or departure is due to a cause beyond your control, shall be considered exempt from income tax and consequently, not subject to withholding tax pursuant to Section 32 (B) (6) (b) of the Tax Code of 1997, as amended.
It is represented that the SGV-Ernst & Young Far East Area (SGV-EY FEA) integration which was undertaken primarily to reduce costs, enhance shared services within FEA, and align strategies and resources with strategic FEA priorities will result in a manpower complement in SGV that is not consistent with the current organizational structure. Moreover, there were issues raised that had not been resolved to the satisfaction of both SGV and the dissenting...
