- Country G and Ph entered into a bilateral agreement -Based on that agreement,, XYZ org was formed; XYZ org is a foreign org; it is recognized by the NEDA
- XYZ org's main task is to implement the stipulations of the said agreement
-One pertinent provision of the agreement is that Country G will give support particularly technical support to Ph in the form of projects and programs such as comprehensive land use plans, solid waste managements, disaster preparedness prog , etc.
-in implementing these programs XYZ org teams up with differnt govt agencies like DAR, DENR, DTI , LGUs, etc.
-at the end of the programs, the materials and equipments used are donated to the collaborating govt agency
-XYZ org is given tax exemptions in purchasing such equipments
-XYZ org's funds come solely from taxpayers money from Country G
-XYZ is considered a non profit organization
-Some employees of XYZ are Filipinos
-XYZ employees' salary likewise comes from Country G taxpayers money
-XYZ does not withhold tax from its employees
ISSUE: WON Filipino employees of XYZ org should be subjected to income tax
- What provisions of Ph laws applies or covers this case
Last edited by clarineologist on Fri Apr 12, 2013 1:20 pm; edited 1 time in total (Reason for editing : typo)