February 24, 2020
BIR RULING NO. S40M-197-20
Sec. 40 (C) (2) & (6) (b); RR 18-01; BIR Ruling No. 214-12; BIR Ruling No. 100-17;
BIR Ruling No. 075-18; BIR Ruling No. 1422-18
Puno Law
12th Floor, East Tower
Philippine Stock Exchange Road
Ortigas Center, Pasig City
Attention: AAA
Gentlemen :
This refer to your letters dated March 21, 2019 and June 27, 2019 requesting, on behalf of your client, Atorxa Primera, Incorporated ("Atorxa"), 1 a corporation organized and existing under the laws of the Philippines, for confirmation that the transfer of properties from AZ 17/31 Realty, Inc., ("AZ Realty"), 2 also a corporation duly organized and existing under the laws of the Philippines, to Atorxa pursuant to a statutory merger would qualify for non-recognition of gain or loss for income tax purposes in accordance with Section 40 (C) (2) of the National Internal Revenue Code of 1997 (the "Tax Code"), as amended, and as such, neither AZ Realty nor Atorxa will be subject to income tax, withholding tax, or capital gains tax in relation to such transfer. HTcADC
Background
Atorxa is a domestic corporation organized and existing...
