Philippines Court of Tax Appeals Issues Decision Clarifying Validity of Assessments for Alleged VAT Deficiencies

The Philippine Court of Tax Appeals Feb. 13 issued a decision in CTA Case No. 10425, clarifying the validity of assessments for alleged VAT deficiencies. The taxpayer, a corporation, challenged VAT deficiency assessments. The Court previously dismissed the taxpayer’s petition for review for lack of jurisdiction on grounds of failure to timely file supporting documentation. On reconsideration, the Court of Tax Appeals, Special Second Division, found that: 1) the taxpayer timely submitted the supporting documentation, as evidenced by Bureau of Internal Revenue internal records; 2) the tax assessment, therefore, wasn’t final and the petition for review was timely; 3) the ...