n\a

October 16, 2018DA ITAD BIR RULING NO. 047-18Principle of Reciprocity;BIR Ruling No. ITAD-372-12Embassy of the Russian Federation1245 Acacia Road, Dasmariñas VillageMakati CityGentlemen :This has reference to your Note No. 548-n dated September 17, 2018 referred to this Office by the Department of Finance and the Department of Foreign Affairs (DFA), requesting for the exemption from the payment of value-added (VAT) and ad valorem taxes on the local purchase of a motor vehicle for the official use of the Embassy of the Russian Federation, specifically described as follows: cDHAES Type of Use:OfficialMake:Toyota Camry 2.5 G ATModel Year:2018Color:White PearlFrame Number:MR053AK50J9000683Engine Number:2AR2012323 In reply, please be informed that Article 34 of the Vienna Convention on Diplomatic Relations reads:"ARTICLE 34A diplomatic agent shall be exempt from all dues and taxes, personal or real, national, regional or municipal, except:(a)  indirect taxes of a kind which are normally incorporated in the price of the goods and services;xxx xxx xxx"Thus, the tax exemption privilege of an Embassy and its diplomatic agents does not include exemption from VAT and ad valorem tax, which...