Citadel is registered with the Bureau of Animal Industry as a feeds/feedstuff importer under registration certificate no. IM-637. Prior to CIP 01-4864 dated June 6, 2001, BAI also issued Citadel a certification under CIP 01-2701 dated March 28, 2001.
Under Section 109(d) of the National Internal Revenue Code of 1997, the sale or importation of fertilizers; seeds, seedlings and fingerlings; fish, prawn, livestock and poultry feeds, including ingredients, whether locally produced or imported, used in the manufacture of finished feeds (except feeds for race horses, fighting cocks, aquarium fish, zoo animals and other animals generally considered as pets) is exempt from VAT.
Since Citadel is registered with BAI as a feeds/feedstuff imported under Section 4 of Republic Act 1556, the company’s importation of feed oats and feed barley is exempt from the payment of VAT, unless these imported feeds are specialty feeds.
(VAT ruling No. 65-2001 dated Oct. 3, 2001. This ruling is issued on the basis of represented facts. However, if upon investigations, it will be disclosed that the facts are different, then this ruling shall be considered null and void).