Refund of Previously Collected Taxes
- Any income tax previously collected on the exempt income is subject to refund.
- Refunds are granted upon proper application.
- Application must be made to the Collector of Internal Revenue by the person claiming the exemption.
Definition of Covered Individuals
- Includes Philippine Army officers and enlisted men inducted into the United States Armed Forces in the Far East.
- Also includes guerrillas who are duly recognized, whether collectively or individually.
- Beneficiaries of these individuals are similarly covered by the exemption.
Effectivity
- The law took effect immediately upon its approval on June 1, 1948.
Important Legal Concepts
- Retroactive tax exemption: applies to income earned during prior taxable years.
- No requirement for tax return filings on exempt income simplifies compliance.
- Refund mechanism ensures fairness for those previously taxed on exempt income.
- Extension of benefits to guerrillas recognizes their service on par with formal military induction.
- The law reflects governmental recognition of service during wartime under the U.S. Armed Forces.