November 19, 2018
ITAD BIR RULING NO. 116-18
Section 28 (B) (5) (b), National Internal Revenue Code of 1997,
as amended
Isla Lipana and Co.
29th Floor, Philamlife Tower
8767 Paseo de Roxas
1226 Makati City
Attention: AAA
_______________
Gentlemen :
This refers to your letter dated December 14, 2016 requesting confirmation that dividends paid by Tyco Electronics Philippines, Inc. ("Tyco Philippines") to TE Connectivity Holding International II s.a.r.l. ("TE Connectivity") are subject to income tax at the rate of 15% under Section 28 (B) (5) (b) of the National Internal Revenue Code of 1997 ("Tax Code"), as amended.
FACTS
TE Connectivity is a foreign corporation organized and existing under the laws of Luxembourg and a resident thereof based on its Articles of Association and Certificate of Residence issued by the Tax Office of Luxembourg. Particularly, TE Connectivity is a private limited liability company or société a responsabilité limitée ("s.a.r.l.") in Luxembourg. The object of TE Connectivity is to carry out all transactions pertaining directly or indirectly to the acquisition of participations in Luxembourg and foreign companies, partnerships or other entities, and the administration, management, control and...
