Embassy of Sweden

January 9, 2020ITAD BIR RULING NO. 013-20Principle of Reciprocity; Revenue Memorandum Order No. 10-2019Embassy of Sweden11th Floor, Del Rosario Law Centre21st Drive corner 20th DriveBonifacio Global City1634 Taguig Gentlemen : This refers to your request, indorsed by the Department of Foreign Affairs, Office of Protocol (DFA-OP), for the renewal of Value-Added Tax Certificate 1 for the local purchase of goods and services for personal use of your embassy personnel.In reply, please be informed that while the Vienna Convention on Diplomatic Relations of 1961 exempts diplomatic missions (i.e., embassies and consulates) and their diplomatic agents from all dues and taxes, personal or real, national, regional or municipal, they are nevertheless subject to the indirect taxes of a kind which are normally incorporated in the price of goods or services (e.g., VAT). AScHCDNevertheless, under the principle of reciprocity, this Office may grant tax privileges to a foreign embassy and to its members on their local purchases of goods and services, provided that they can submit to the Commissioner of Internal Revenue proof that the foreign government of...