Professional Documents
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April 2016 Tax Brief 1
April 2016 Tax Brief 1
Tax brief
and other reminders
• BOA resolution no. 3 effective fiscal year ending
June 30, 2016
02 CTA Cases
• Appealing Oplan Kandado at the CTA
• Government issued certificates are deemed valid
unless proven to the contrary
• BIR cannot compel payment of compromise
penalties
• Assessment is invalid for failure to prove receipt
by the taxpayer; WDL may be directly appealed
to the CTA
• Form 1606 as proof of withholding on sale of real
properties
• Strict compliance with documentation for tax
refund
In this case, the CIR issued a 48-hour notice Section 109 (L) of the National Internal The BIR argued that the Cooperative should
and 5-day VAT compliance notice demanding Revenue Code (NIRC) 1997 alongside have presented additional documents such as:
that the taxpayer pay an amount of deficiency Sections 6 and 7 of the joint rules and
VAT calculated as a result of surveillance regulations classifies registered cooperatives a. proof that it actually and exclusively
conducted by revenue officers. The taxpayer into: transacted with its members by providing its
was correct when, within 30 days from list of members and sales invoices;
receipt of the BIR’s denial of the taxpayer’s 1. those which transact business with b. copies of the quedans to show that the
explanation, he filed an appeal with the CTA. member only; and refined sugar were actually produced by the
It has already been previously ruled that such 2. those which transact business with both cooperative through its members;
proceedings are within the scope of CTA’s members and non-members
jurisdiction. The CTA ruled that the certificates presented
Cooperatives belonging to the first category created the presumption that, in the issuance
The CTA further ruled that the assessment for are exempted from internal revenue taxes. of the same, official duty has been regularly
Tax ruling
Lina Figueroa
Principal, Tax Advisory and Compliance Division
T +632 988-2288 ext. 520
E Lina.Figueroa@ph.gt.com
grantthornton.com.ph