Philippines Court of Tax Appeals Issues Decision Clarifying Refunds on Erroneously Paid VAT

The Philippine Court of Tax Appeals May 9 issued a decision in CTA Case No. 10900, clarifying refunds on erroneously paid VAT. The taxpayer, a VAT-registered domestic corporation, sought a refund on erroneously paid VAT regarding its importation of prescription drugs and medicines for diabetes and hypertension. The Commissioner of Internal Revenue (CIR) denied the taxpayer’s refund request, contending that its refund claim wasn’t duly substantiated with proper documentary evidence. The taxpayer appealed, arguing that it satisfied all the requisites to be entitled to a refund. In partially granting the taxpayer’s appeal, the Court of Tax Appeals, Third Division, found ...