SC rules on tax case in favor of mining firm

January 23, 2015 11:48 pm 

MANILA, Jan. 23 — The Supreme Court (SC) ruled on Friday on a tax case in favor of a mining corporation involving more than PHP3 million in “unpaid claims for refund.”

The case pertains to the complaint filed by Taganito Mining Corporation (Taganito) against the Bureau of Internal Revenue (BIR).

The SC granted the petition of the mining company and reversed the earlier decision and resolution of the Court of Tax Appeals (CTA) en banc dated April 18, 2011 and Aug. 9, 2011, respectively.

Because of this, the SC ordered the Commissioner of the BIR to grant a refund or issue a tax credit certificate amounting to PHP3.6 million to Taganito.

Taganito filed on Dec. 30, 2003 before the BIR’s Excise Taxpayers' Assistance Division an application for refund for the alleged excess Value Added Tax (VAT) they paid amounting to PHP4.4 million for the period Jan. 1, 2002 to Dec. 3, 2002.

While the BIR has not yet ruled on the application for refund, the mining company already took its request before the CTA by filing a petition for review in February 2004.

The CTA Second Division granted the petition, however, the refund was only in the amount of PHP3.6 million.

The case reached the CTA en banc, which dismissed the petition.

This prompted the mining company to elevate the case to the SC. (PNA)

SCS/PTR/RSM

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