This rule establishes the procedure for an Incorporated Body to secure the release of income tax retention withheld by other parties. It mandates the submission of a formal letter to the Tax Department detailing the contract, revenues, and retention amounts. The release is conditional upon the full settlement of all taxes and penalties due for the period, with the Tax Department offsetting any liabilities against the releasable amount. The rule further stipulates that retentions subject to legal disputes are withheld until the case is judicially settled.