Philippines Court of Tax Appeals Issues Decision Clarifying Input VAT Refunds Regarding Zero-Rated Sales

The Philippine Court of Tax Appeals Aug. 29 issued a decision in CTA Case No. 10922, clarifying input VAT refunds regarding zero-rated sales. The taxpayer, a company, was the regional operating headquarters in the Philippines of a multinational Swiss company. The taxpayer sought a refund of unutilized and excess input VAT attributable to its zero-rated sales for Q1 2020. The Commissioner of Internal Revenue denied the taxpayer’s refund request, contending that, among other things, the taxpayer failed to substantiate its administrative claim for refund and wasn’t entitled to the specified refund amount. In denying the taxpayer’s appeal, the Court of ...