GROLIER INTERNATIONAL, INC. v. COMMISSIONER OF INTERNAL REVENUE

REPUBLIC OF THE PHILIPPINES COURT OF TAX APPEALS QUEZON CITY SECOND DIVISION GROLIER INTERNATIONAL, CTA CASE NO. 9470 INC., Members: Petitioner, -versus- CASTANEDA, JR., Chairperson, and MINDARO-GRULLA, JJ. COMMISSIONER OF Promulgated: INTERNAL REVENUE, MAY 3 1 2019 / Respondent. r/ o0 : ~- ' . .,. X- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - X RESOLUTION For resolution of the Court are t he following: 1. petitioner's Motion to Withdraw Petition for Review filed on March 19, 2019, without respondent's comment as per Records Verification Report dated April 16, 2019; and 2. petitioner's Compliance, fi led on April 12, 2019. On January 3, 2019, the Court issued a Resolution submitting the instant case for decision. However, petitioner filed the instant motion seeking the approval of the Court on the withdrawal of its Petition for Review and for the issuance of an order declaring the case close and terminated. Petitioner claims that it entered into a compromise settlement with respondent. Petitioner avers t hat it submitted a letter dated

RESOLUTION CTA CASE NO. 9470 September 23, 2016 to the Bureau of Internal Revenue (BIR), requesting for a compromise of its tax liabilities for taxable years 1983 to 1988 and offering to pay the additional compromise amount equivalent to 30% of the basic assessed taxes, as the 10% thereof has already been paid. Subsequently, petitioner received certificates of availment issued by the respondent, approving the application for compromise settlement of alleged deficiency taxes for the taxable years 1983- 1988, with the following details: Certificate of Date of Assessment Tax Amount Taxable Availment No. Issue Involved P27,036,130.05 Year CAC201700004571 October 31, FAN-1-83-89- Income Tax P62,201,890.21 1983 2018 000185 P43,265,491.89 CAC201700004572 and 1984-1985 October 31, FAN-4-83-87- Percentage CAC20170004573 2018 007431 1986-1988 Tax October 31, FAN-1-84-89- 2018 000106/107 Income FAN-4-84-89- Tax, Value Added Tax, 000108 and Final FAN-1-85-89- Withholding 000109/110/ Tax 111 FAN-1-86-90- Income Tax 002015 02207-88- 4472 In view of the compromise settlement of its alleged tax liabilities for taxable years 1983 to 1988, which is the subject of the petition, petitioner moves that the Court issue an order declaring the case close and terminated. In the Resolution dated March 28, 2019, the Court noted that petitioner only attached to the motion copies of the certificates of availment. Hence, petitioner was ordered to submit the original or certified true copies of the said documents. On April 12, 2019, in compliance with the Resolution, petitioner submitted to the Court the certified true copies of the said certificates. Considering that petitioner is no longer interested in pursuing the instant case, and in view of petitioner's submission of the aforesaid document to establish the approval of the compromise by

RESOLUTION CTA CASE NO. 9470 the National Evaluation Board of the BIR pursuant to Section 2041 of the National Internal Revenue Code of 1997, as amended, and Section 62 of Revenue Regulations No. 30-2002, the Court finds merit in petitioner's Motion to Withdraw Petition for Review. Accordingly, there being no objection from respondent, the motion should be granted. WHEREFORE, petitioner's Motion to Withdraw Petition for Review is GRANTED. Accordingly, the Petition for Review is considered WITHDRAWN and the case is considered CLOSED and TERMINATED. SO ORDERED. 9. c.Q..1ez..�"'-t~ ~N.MLL-.C~ JUANI'I'O C. CASTANED~, JR. CIELITO N. MiNDARO-GRULLA Associate Justice Associate Justice 1 SEC. 204. Authority of the Commissioner to Compromise, Abate and Refund or Credit Taxes. - The Commissioner may - (A) Compromise the payment of any internal revenue tax, when: XXX XXX XXX Where the basic tax involved exceeds One million pesos (Pl,OOO.OOO) or where the settlement offered is less than the prescribed minimum rates, the compromise shall be subject to the approval of the Evaluation Board which shall be composed of the Commissioner and the four (4) Deputy Commissioners. 2 SEC. 6. APPROVAL OF OFFER OF COMPROMISE. - Except for offers of compromise where the approval is delegated to the REB pursuant to the succeeding paragraph, all compromise settlements within the jurisdiction of the National Office (NO) shall be approved by a majority of all the members of the NEB composed of the Commissioner and the four (4) Deputy Commissioners. All decisions of the NEB, granting the request of the taxpayer or favorable to the taxpayer, shall have the concurrence of the Commissioner