CTA Case No. 4787 (Decision)

, REPUBLIC OF THE PHILIPPINES COURT OF TAX APPEALS QUEZON CITY .. RONDEL i'"fANAGEr-riENT, INC., P-.::-t1tkner, C.T.A. CASE NO. 4.787 THE C01-JJ.rH SSIONER OF � ; Promulgated: INTERNAL REVENUE, _JA_N_0_3_19_96_� . Re~:r..)ndent. :~ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - X DECISION Ttus is a suit in~::tituted b~T petitioner Rondel 1vianagement, Inc to ar.r.::olv for t.11e retu.nd or tax credit of t11e amo1Jnt i)f ... ~ f. - P7~,1.l. q 7c-,. 1990 am�::.unt of P2Uf.,:.\ 10 L.

C.i.A. CASE .nO. 4767 -2 Net ln(:c�m>? �:;_ 4C:. �:~.1 ,?.q_oo 1t�c�. 71 .:~..oo Ta.:�~ [i1J.4 Le~:::::: (ro:-:<l1t:-c�l'? T~c Vlithhelcl i (�.k1-'l.l'-. 'T..!.Y...:'"-J� 1�1� ,'.�-i,:�..:.,�.. \_' /!;it. t�l� ll�F��~�� l d i t Pi~ )I � Incon1E� P.3,950,277.00 -~ 7C~r)_C:!72 _()() L<?.ss: Deductions ~> 2 ~(I, 7r)~. (Jr) Net IncomE:- Tax Dus- p f4_,24700 Le::::s (reditat�le Tax Witlllwld 1'}}'~� �.::redi t::1.t�le t::1.x 1(1!:~:!(;, (rB(jit~!_t,l~ t~::t.~{ 1(�) ,',')!.-~, 1 (� 1'"'? (). "':,.�-.:i t1111 e1~::! For th�:' �~alendar ye:::tr ending Decernber .?;. 1, .nt-J~'tvi't.i�.�--�������Jt�,,.;.;_,,t~� .1.1.1�",."��.�"11"-~!;-_c, r~�-��v�lp.t}J..�..:�t...-v;:.::..-, ..t.:..nr-i,~.l..-o.1� I�.1~.rC.O.fHe-. T.3...�:�~ p�,-'�;.:-:1't-.,.J.!.l.l OL-, -�1 r!�.1.....:.11 15, 199 !, slK�Tvlling a refundable amount of P750,47:,i.oo. L.;.�::o:::� DE:-duct1ons p 12,942_,f)40.00 r�-Iet 1rJr.):)tllt:: 12 ~. c:, �;;_ i ?.6 00 11 p

r , ~ DECISION- C.I.A. C.!S� NO_ 4787 3 p t:.:=-r�.'=';�; ~~rE>�:�tn p~:. 11.3,99.1)0 t.. 1 Qtl.:'rts-rly �� �. 1~ .-, . � 199f) a.r' barred 12

tltCISHHl - C.T .A . Crl.S.E Ru. 4787 -4- ! IvhAlt1"1l �1.: Remittulu~ Return of Iru:�::.nw Ta:.:e::; V'iitl!h~h:l (E;IR Form 174YvV) F"L:tza. IlK fer the rvrontll of Sept. rn. -~"���l '�J / �' �:..ll'�.+ f'.:-_�i.r.:1' IE.,,;.-, r�_., r l_"-;,::._�.t".!.t_.t�:-_-�_ 1� - - r._��r��}n,.t.", 1'rt���Jl.�-��:t.1"'���'��./�t"1 f�';'-;�:~�:..,�~���-.�:.:t.{�.-'��-t� fT \\ 0 ��..:,"~J.. ..'- J. / - ::u1d P.IR Pa.�vrnent Order (E:{J:1 U-2) <?.~.r!dencu:;g remittan�:e ma.de by I>::f>::tir:: F'l::'!.Zci., In( tc the C.IR on Uw t2.:xe.::: ''�l1thhB1d t~,r UiS"Ll f.:�,:.rL �.:�.::�..n::.,)r::.i.tiorr:; for tl1e !:n�:�ntll �:��f :) Inccme t.ll'=' ;.reo::1r 19f�9 frorn th<?. ~ .../i-t.1. 11�.l. ,, .t. d-in�.=�=�� ,-:�,�=~-�,:;.., nt-.:--; .� ~ (2) {a) Annual Return of Credit.abP 1nc:om12 (E~-~=F'�~.!1(iB(i :)\?:3t81l1) f(.i! ' Ee�turn of 1-l,-)ntlli~~ .... J. '� ... ,. .ti:v.,;�;J::.1mi+t�-t:'L'l�t, >Ar��,':...,. In�:�.;me Taxes Vv'itll1"1<?.1d tE: :R Fcrrn 17~ ~-""~7) t�"':JJ>ac1fi.-:: I=~t::tz::�. Ir!(:. I(��r ~t1f'f -� tri=...:rrltlr:: (_)f j.t.J.r)ril. 1\.I;::;_;l :~ir1<~ C:( ~--. 1 1-~l5�~;1 .:;.1vJ =-~r)t. i (~~f:;~:. (r~c(=g_Ili2~..:�l -:~. ~ i~d.:-r~::. T>::.i<l i11 1(;;;:!~) 1J.1i;:3f.~- tl1~� f=1:::.:.~.ru..:1i 13

I�Et:ISIO:H - LT _!._ CASE NO_ 4787 -5- nr���I,::.r�� r ;.' Jp_..Tl .P.:a.T;~-:1.'T�!�..�L,:._:..t}t-~ ::..� { j.:I,;.u,.,S!.,l-t.il..--.:�. "~!-:"...- �~� ;.:..:;-. - i-.~J�. _, ... --� 1- _. , '""'.. T-2 a.nci 1J-2). evidencin�2,_, rt:-mit.ta.tl>:.E:-::- on the t::J.::e:: �viit.hheld t�; thern from corpcr;:::1.tion:3 f;::.r the tn..::�nt'1Y.:: cc�'.~s-ring ,.!i,pnl, !�.,..I:3_y ::u1d Oct 1(:H}:;i an�-:i Sept. 1�.:j(:_;(), resr�ectively. 4> .-, 1 a:: '�� Certifi(D.ta of Creditable mrR Fonn 17 1.) for from the f�:�11(iV�.Ting (a) Annual R~turn of Credit3.bl.:?. Income Tax V{ithheld (Exp::tnded Tax S'vstern.). for r-=�-::i.1?:._:!}(l-::~'t_��.!- 'lr~_:C:1.t.� �'��!� . 19.(_)_.(_.1 ~'(",'.,.L.+t-lt-..,. .tt-l.,�,.-...'jJ~.~-.1J1�1-1.::-:... .. ��-�' - 11 1�1�1c r1-.,-. D�: �':�',�.;,~.~ .~-t �-� .&. �..1. t.-. 4 ..� t~,lJ.-C-.�..?G.�a:0.>,.~ L L~~�� i4,_,..., \J �, '�''1th \'1./.a.�.�.L.! \_u.::l..;..L. 'f ;::,tt.ached Sc11E>dule ~=Jl�:��\'-.img the tSaxu.ms-srna~r.v'.-~orfithMhdod ntflrllov'mEer(n>tt)trJv.n:.cr:.Jst-isono-n:; a.rLl individua.ls; 1viont.h1y Remittance E>7turn -.- ().t ~BIE Form rE::l1�:;. ~r;. 1-C.. ~{ a.fJ.(l Z r~:: r�s~-~- ~j ~}~1:-:-1_. .::.ll ~~l �.�.�: ::�~?tltr:::1 E~:~.t1l: c:~:-�r1tirrrl::tt.i,:::�~l F>::��:>s-if't:: z-:'= (E::~~::. ~;�~7-1. J{-1_. -ri-1 ;:f_r_�~! ;~i!l(l E IF~. i>a.r..:rrl"?tlt c:rr~~ier�? (.E:-:t~::. -~;~ -~.. :~-2.. ~ 14

DECISION- C.I.a. CASE JiO. 4787 6 ,'�.<<~.:. /'� . . (�~-O~:}. �r�=:�-. ~j� t.'_E;.:<.J~.l. t>=>~ F�t�.-"-�",.r!�.';:v;,.�r�t--�r;.; Hol��ll.tlcr�:� rill'-~- L...., �.1 �v � \. ;;:.��'.� � f ..,. (a) .L. !..~.nnual Return of Credit.::tt�le ln(:orne . T:~:;~ V';!ithheld (Expa.ndE>d ' \V1th11olding Tax (::�lH1dar Y-?::tr 1990 Prop~rty P�.�1dins:::. (t)) List :)f F�;:J.}Tees f!'\)t:Ci -:::'~rl1':)t1l t:1.:-:s::: b\� i.l~~t�p ,/ (J-:~---I�t-�A�..� ..,..,-'.-~'��i�� ]"")t1�,.-�-.�,1r)-�A._f.�f--1..<. ,::'� , I ..... _. ":�'!�'l't_l,.�,lt11...?, >�-�1<�-+l H:�1dmg�;:;_, Iw::. for tb-? y.::':?.r 1(;c:�> ::;h.y,..,rmg Rc�ndel !vl::;.tBg&r.a>?-nt. Inc ::1�:: f)!1e c,f tl1e- f-);:ty�ees -~�;i -:._:".,~:J.:�:��r.n t-~�, __:_ :~rn.:_:ru nt. i,� i .. F~�~t.~Jr!l �.�-��� - I.I-?C. l J. '�)'�~~t.) ~:.E:tliS. l~; 1 - � r-.; .:..... .' .:.�: ~: ::. i.' f::. re~:-r.:�~::_:t.ir.l(=-1}'" )_: a.tl(i (<l) c�~;.:lt.r;:).l E�~3.n.l: r:;.Jtlfir!""!"l.::.t.i.< !l F~ -:-~::eir�t.:\ ('. TL7o-�o~:~�h��-::. JT-""""' T.:,... _ 1 ' _ L l !�-' _ 1 N _1 (.� _ 1 .� !,, �-l ., "' ,, -� " ::~.!1<1 f'-1 ::i �J.fJ.(i :e~IF! I)J.:.:rrtl�:::�:�I~. (}r(l-?.t�:; fE::h�:: J-.}. K-2, L-2, I�...-!-~ l'l < 0-2 i'���� t:-.-- .�.�J. �.-- .�.';.. t:;r . :�r~i~iit . .-~!atE',:! :�!~(:B-r.n.t�er\~~-' lf)�;ll. re-c9i~_'!i:?,.:l +-1�1"':: C:� [F~ C'tl [1E:<C:::rfl t�-er 12 1(~~ (;ll (E:tll H} .. 15

lJEC1SION - 7 C.L.A. CASE NO. 4767 t.h~ BIE 7--:.-. ~:. Se(:ti(J!1 .�..;. r-�,f �-.. ~-~.A.�.� �-;.. : �e \ TT; ..- .. ~ �:"~ t-1 ...._Tw� ,-. f -.~ ': ;.. - .i.. -�- :��� ��-� l.O. In it:: mE�rnorendurn. petitioner allegE<l that it:: cl:.::dm for :Peti tic�nE�r fc�r 1~v::,9 In.�::<:.m>t� Tax Dus:> p Less Credtt3J)1& Ta.x With11elcl ! (J,y) (:redit.:::�.ble tax V/ilJ11}~�l�j(E;dlS. i:.J. (;t E�) r�, ]:" rr�, t~} (~;t:.�:~.r~~~ rl- .. F'a ;"rt~. ~ t1 ~s -f)- 16

-c- '� I T11& 1:::~::1_1_~ r-�n:)�::o?(i i~:: ~.�. :'"I-lBt11~r .:)r tl()t r-)et1t.1c~t1er i~3 E?1ltit.19(i t.c:� -'-'(:� �=���. :;.nt :. .:._ -�~-' '���-�+1-.7--'-+�--pt�!�L,L...i..,..<,.-l.r.::-'.7.'-.~~-' t�,:�-:�.-�-:��,!t-\��'������t�l .-.-.1.l.- .&. ... ~\~~..ra--...c_�. \,.,.-,~-.-,l�l�,:-:-�.c.�-�-t� 1�~t�l �--:--,�.-:-�c-.�~J�.�t�.1a..7L�1.;-:,:., t.1�1;-_:"J_t _ I P'=' ,.-�.ft1-�1-J-H�'i-t v���.r� --�� .�..-.1+.J;���A-��..:..!� 1�1>-:-1",:. f.-'��t�'-1...:-:�.'.--..-l-.L~!-A- :-i'.'--1.�. � P't.�-+lu�or�1'�1��1� ...:.:.,T, �~�'��-�l --:-1.d. r:nh+-c--� 1�1�1 1t�-.�-=-� memorandurn that mcie4d it;; claim for refund or tax cr~?cHt ~.q1tl1 ' s1t-r1r~1e. it ,_,:J-7' \Manila Electric Co. Y. Coll~ctor of IntE�r:nal R�>v~nH~?_. j �-,.,_ ... .:. �\,=._r:::_ :� . '. ... : .J. �-- ... ..!" - -~ 17 CTA '\

-9- or if hE.- i:: ~~ntit1~?d t:::: a. refund oi over:.;z:.iJ in�:<::.,nle . t;~_:: (Commissioner of Internal Revenue v. TMX Sales~ Inc., ~t G.R. No. January 15. 1992; ACCRA Investment~ Corporation v. The Hon. Court of Appeals~ Commissioner of Internal Revenue and the Court of Tax Appeals, G.R. No. 96 32 2, December 20, 1991; Commissioner of Internal Revenue v _ Asia Australia Express. Ltd.~ :represented by So:riamont Steamship Agendes. Inc., and Court of Tax Appeals, G.R. No. 85956~ l':..p:rH 10, 1989; Commissioner of Internal Revenue- v _ Banking Corporation, CA-G.R. SP No_ J!u.t. vi 1 ..'.�1}": .'1 1992; and Service-wide Specialists, Inc. v. Com.missh:;n.:'r of Internal Revenue and Cou:rt of Tax f -, T- .;:, H-- ,.-~ .~ .f" -. ,,�. -.i i\ ~ - -� .i.. �- ... _ .: - ;. - ~--- i. - : .... }���; .-, :: ---. .-;_- ----.-- - -- i :.-. , - ~-'-- -- �- -- -~ - 'l -;.._.-:. - - ~--- - . .:. � .:. . . ; - '- 'I 18

DI:CISW~ - +" .�...-..- �. .,. . -�. ~- C.i.h.. CA.!;� !Hi. 4767 ... - �.-��-� 'r' :;;.:. 10 .~ .if. +.~ -- .~.- �..-., _ T~T ;;';;.:.J, t! -._. ( f.:=,r J. refund or i:::::-uanu:> oi a t:m credit ::ert.ificate ~,liUlout ,..-... - +---..h. ~ �--:~- year. :. ,:::f AF Holdings and 19

11 D~cember 2 4. 1993; Anscor Haged.orn S�::cur.itie~. Inc.~ v. Commissioner of Internal Revenue, CTA C~St!} rio. 4947, January 30~ 1995; an�:i Pasig Land Corporati,;;:n v. Commissioner of Internal Revenue, CTA n./�,��_,c_H._ .".... ,_ :!-i:.io::-crr: [CJ.ltex (PhiL) Inc. v_ Commissioner of Internal ;' ii R;::;-~enue, CTA Case flo_ 2871, January 29~ 1986.1 Sufb~,:;. it .20

D!:CISIOH- C.I.A. CA.S� HO. 4787 - 12 - 1l-2re-t;; DISMISSED fc>r l:::v:l�~ of merit. ~u~ccordingly. petiti�:::�ner':; f.::cr Ffund �:)r t;::tx credit is DENIED. I c1�:~.:rn�,4T�t-��, tr-��,r,-.�..�. ,.L+"i,�--�'�-1��1!-1��-~�-�p-.� !�l�lt�._:..>fJ".�t-� -=-��~- '-���-� SO ORDERED. WE concuR: ~~~c.~ ERNESTO D. ACOSTA CERTIFICATION \ ' :21