FACTS

On April 14, 1998 Primetown Property Group. Inc. filed its final adjusted return. On
March 11, 1999 Gilbert Yap, vice chair of Primetown Property Group. Inc., filed for the
refund or tax credit of income tax paid in 1997. However, it was not acted upon. Thus
Primetown filed a petition for review but the Court of Tax Appeals dismissed it claiming
that it was filed beyond the two-year reglementary period provided by section 229 of
the National Internal Revenue Code. The Court of Tax Appeals further argued that in
National Marketing Corp. vs. Tecson the Supreme Court ruled that a year is equal to 365
days regardless of whether it is a regular year or a leap year.

ISSUE
Whether or not the respondents petition was filed within the two-year reglementary
period.

RULING
The Supreme Court held that the petition was filed within the two-year reglementary
period because Article 13 of the New Civil Code that provides that a year is composed of
365 years is repealed by Executive Order 292 or the Administrative Code of the
Philippines. Under Executive Order 292, a year is composed of 12 calendar months.