CTA Case No. 547 (Resolution)

REPURT.lC OF T HE PHlLIPPIN ~B COURT OF. TAX APPEAL U N., CITY , CTA CAS ~0 . 547 ALLISO J. GIBBS and STHER � G.IB!jS, t tion r s Vel'S CO �F ! 81 ION! i'' t F INTER .A,L HEVE?'UE , spondt:nt . ALLISO J . Gl d ~THE K. OIB s, P t 1t1oner ve su - crnn4.ISSICNER OF I {'l'E NA.L v l .. , spond .t . X- - - - � - - - - - - - - X 4LLI.30 J. IIIDS and E~T. P.R K. GIBBS 1 P~tit ioner v r us- X- - . ( :;r ondent . ~tW ,, 1 11 "' - .. .. .. ... .... ,. X. RESOLUTI Th1s per in t o p titi on r ' thr :!lotion fi d on Oc tob r 3, 1965, to wi a 1 . ~ot n to Di smi ss in CT Ca~( 1 � 547; 2 . ot i on to Dismiss and Str1k n CfA c~lse : It 56~; and 3� � o+ 4 on to Dismiss and Str1k in CT Case o,. $72 whic r h rd joint l y. Res pond n 1: s int rpos d "J n t OptJo 1 t ion'1 on De c b r 1 , 1965. 4

. OtUTIOJ� - .. CT C ES 0 � ,- 2- ?~7, 56lt and 572 h r cord � show t ton Jun 28 , 19,8, July 29, 1958 d t 14 , 1958, p tit1oner filed th 1r t1t1o s for rev1 w (C . T�� C s s o � 5Lt-7, 5 4 d 572) 1 h p 0, 078.34, r e ntin 1 0 d rrone u l;r p 1 d f! ei ncy ne ~ t X S .for 1951+, 19$3 and 195'5, r s- c 1v ' y . In the p tit ons, t tion t' l 0 s i l d n .".t'.. 11 1 nd v 1idit� r 1 u d b res. or1 ent on Jun 3, 195 � July 23, 195 , r p nd nt 11 d t w.r in c��� C e o. 547, d �n u ust 29, 95 , ~~ r in C.T . A. C os. 564 and 572, r speet v ly, In C�� A. C � 547, ho ver, spou nt in- erpos d eount rcl 1 or 11,2 8.oo, 2, 78. 00, 5,990. 00 d 23,418.00, r re n.t n _, d 1c1 ncy 1- c taxe o 1952, 1953, 195'5 d 195 , pectiv l � july 30, 195 , eti n r til _d n otion to Dis- sa 11 id count re .1 on the round o 1 c o jur sdietion. I su) ort th r o , 1t1on r s b�i t d & n...,t1pu a ion 0 " d d Au us t 2 , 1958 , s owin n otb r , o . nt d not y r nd r d d e1s1on �O p t . t :o rs' >rot sts a a1n t th addi t io - 5

RESOLUTIO, - CT CASES NOB. Sl.t-7, 564 and 5?2 I .. 3 - l d f1cieney inco t nts above _en tion d . hi Court in its r solutlon o ..f eh lit, 19 o, in CTA C.Is - No . '47, d1st lssed pondent �.; count r - clai f or the reason t et, .1 h r .. speet to the s or 1952 and 195 t r soond nt ha - ot y r nd red a decision on th prote ts of p t tio r against aid d f'ieienoy nt and, wi � r spect to th . d "'1c1eney :tn- oo assessm nts for 1953 and 1955, they are still t subject - att of appeals pendi efore th s Cour t in C. . A. Cas e os. 5 and 572. On October 2_ , 19 ' ' p t1t1on rs filed th in- . tA.nt otions , in CTA 6a Iio. 54?, askin ~ the d .s iss 1 ~ ot the eount<1r'Cl tm o JJlO, 574. 00 o.n rcnnd of jurtsdi c- tion ~d preseription; in CTA C se o. ?6 *, n~k nr, t diSJ 1;) 1 of th counterc laim of 2,1 ?8. 00 and th striking out of r �nondent� s nsw r ( p r graph 60 us- tainin~ the validity nd l gality of sa .i.d d ficiency assess t!nt; and i n C'lA Cas fo . 572 , asking the d" s- m:ls al of the co nterclaim of P], 990.0 � d th t r1k1n out of res ond . t' nswer (para ph 6) upholding th le al1ty and v.al1 ity or said count rclaim, a11d, by w y of comp:romiee:, o f ring to d.i. mi ,.s their cl in ,.n or refund id. casas . The 1Rsues or our con id r ation r s (1) eth r or not thi � Co rt has jurisd ction to ak cogni~ c o ~s;ond nt � ddi onal def1c ~ .c 6

) RESOLU! IO - �. CTA CASES NOS . , ~7, 561t- and )72 - 4- - inco~ . tax as :n nt 1951+ and 1955 1n p t1t1oners� present ppe ,s, d, in the affirtn tiv � (2) Whethr or not respond nt's ri!!ht to eolleot ttle said de ei ney income taxes On th s i s su , p etitioners cont n 1 ;h t, nde the tipul t1on of t cts of u ust as, 1958 (pp. 55-6 , C.T �� r c.) and th~ r olu t ~ on of this Court or t~aroh 1'+, 1960 11'1 CT Cas . o� . 5'1�7 (pp. 116- 122, C.T. � r c. ), respo dent Co 1ss1on_,r bas not . t r nd r d a deci i or rulin on the s 1d d fic1 ncy nc,me tax s ess. "nt and , h f!�tore, Ullder R public ct 1125' this Court has no power to take cogntsance of rPspond nt' s income tax s .ses .sner..t s in pttt1t1�o. er � prese�nt a"ppe ls 1n o ving deni 1 of th ir 1 1 f r r u� On th o t her h _d , 1f1 his join opposit1o, , re spo _dent mP.intains that tae additional tax aEh::eas_ ents in quttst.1on � e actually dis.puted in C.T ... Cases o � .547, 561+ and 572, r spectivttly, and ar not tr ly sftt r~rth as co nt cl 1 s. H � t~e that p tit on.. rs themselv s ~ d c~nt st d t v l1J1 y or th oo � e 'tax a.s~ ss etits in Cgy,:t wh t ey filed thei pe j , ion s fo:r r .vtew in tho respe\!tive cnseos and, con- sequentl;r, they e~tnno t now, after vtn subin1 tted the or , 1 gal1 ty 1 s 1d a.s enswt!nt !:o �n .1ur1sd ~ etion o this Court and rt �r the apse of or than ev n y ers tro& the f1 1ng of their !"': ~ als, bl! p rmi tt d 7

.. T C SE - OS. , ~l.t-7, 5'6 � an 72 - '... - to dis 1 h c s and to trik out t.he l l e t1ons in r spond t ' s or swe... s, uch 1 iJ set up b det ns r scr pt1 � nder th circu111:-- t nces o t h s case ' r pond nt tu t 'r t h. t h . an ers !'1 d b sustain! th v lidity or his d ice cy ~ ne . t a s s ent b u d b con id r d 0 is n w a s t .e r l in is jurisdict1 th t tl i ot�rt 1 e f s p ~1 l and 1~m1 ted jurisdictio can n y co n ee or c s pp 1 d to it in ccor nc . th 1 w (S c tion 7 and ll R public ct o. 11.25 hi n provi - s .f"ollow : TJ Vi tu the oreroin is o vi~u.,. t ,h pp f led the 1t1 n r" in T C se � 5'47, 5?2, ~ nn co f'l t �!nr~ he n1 -� .,~ f re~ pon ent of th i or r fund� c ot l:e t n dvan-t e by r n nt in ~cutin hi iciency 8

R .SOT.~UTlO'ti - � CT CASES OS . , 547, 564 end '$72 - 6 ... 1neom tax ss nt eaus r spondent ha not y t r nder d d~c1sion nn p~titi ner ' rot sts ainst id s. es sU\ent .. ct i~n of respondent bein . re:na ure. th Cour t did not c ire juris iot1nn or :utlorit o try he e i t . s pp ls. uch libe�nlity w cord t h c . rcu. tn. ee. o.f' t he... c ses, con ider re- .~ on en ' s an Jf't' s xGt in: 11g the v 11dity of hls 1nco~ tax cis1on wh c h ill ve tl f.'f ot of conferring juri (11ctioi upon th �.s C rt, o :the first, pl~t;~, th prov.is:!. qns of.' G c:t!o:.~ ..~ ? and 11 of Republic at L125 cl~ar!y conte l~t~ of c1si ore tmd not f nr an app l t h ret'rom 1. 1st1 .ut to trn Co ::t by he taxpayer; o do , would ot only c ntr v u t ht. -:r1 _cipl o .mau. ttor. of r:t1 1is- n oUl" juri d1 - t!on, but al r, tb~ r '1 enunci o the tfect t' ~t � t nal ly, R' t '"' 1..h'! rgu ent of :r a ?m ent th t , rt r , i ty of the~c as to tn jur sdic 1o r>! ..his Coart nnn ~ t r th"' 1 p .., of 9

OOLH:r l OJ:i - � C'r C .SES NOS. , 547, 564 nd !>72 - 7- or n ev y r fro:11 thG i 1n o~ t h eir peti- tions for revi ~ in s case ~ , p t1t1oners can ot now, � n rt pect to th de r1o1 ney i nc e � nx e .. ments i n qu t on, be� p rm1tted t .., d! 1. f; t h 'S e np- 'P 0 s, sutf1c .. it to ::'617 t t t1on or 1m� is- die: 1o e nnot (1, 'ni �r ..d, d. h e 1 elf t y t1 � e, e n �or t � fiz:st t on :pp al. ( e o. 2, Rul 9, N w lt!'s �)f Court nd Viuda c. H1jos d Pedro I oxa vs. a f ~ r t ,,, 3? Phl1 . 957� Juanil lo vs. D l Ftama II O. G. 304 .Ll 437 ; K Co . , Ltd. v � The COtll" t T x pp a .,., n.l. L-12_9 ' J � 62.) f aving r rived � t t he r re..oin g concl ' d em i t unndc sary t o ~ a $ upon e other 1 sue. I N THE t iGHT DI~ Tmi1SE C0 �SIDERATIO it:":'lt � .'r.Att se !.,.; 0 � 5'4?. 5 lt nd '572, 1 re p ct to l1.e ~ t on... 1 d f1~ r: 'I 1nco:� ti .. e 0!' 1954, 19;3 nd 195'5, n 0 ing the su of l0,57 .oo, 2 , 178. Ql, d � oo, ,., 'j 990. r sp, t1v y, 3 w 11 petit oner clai s ~or refund t h e1 of the r spect1 e u~ of 'Pl ,862. 00 , rP. her b d sse without pr o o o ~~ t . t o co s � SO ORD ~ ED. QU&zon City , �terch 16, 196 � ( GO.} ESr:t EZ D.) R0l1 �.f. 1 ~.. r\c in r s din Juti 10