CTA Case No. 3754 (Decision)

eJtii'UBUC OV oHE ~tt iLl~,.�N"'� \:OURT OF TAX ~f'fi::.AUJ QUctON Cln' I" C. T.A. CASES NOS. 3754 and 3794 COM MONWEALTH MANAGEMEN T AND SERVICE CORPORATION, Petitio ner, - ve r s us - COMMISSIONER OF INTERNAL REVENUE, Respondent. X- - - - - - - - - - - X DEC I S I 0 N The above -ca pitoned c a ses con s olid ated - by rea son a common is sue with the same involved parties s imply address the question of whethe r petitioner has estab - lished a val id clai m to t he r<e..f._und of alleged overpayment of ing_g me taxes for the years 1982 (C TA Cas'e No. 37 5L~) and 1983 (CTA Case No. 3794). As it appears, petitioner dome s tic corpora tion filed with the respondent Commissioner of Internal Revenue cla im s for the refund under letters bot h dated March 26, 1984 of the amounts of elll,348.00 (Ex hibit "A") and e76, 474.0 0 (Ex hibit "A") representing creditable withholding ta xes which we re wj thh eld at various t imes in 19 82 and 1983, respectively, and whic h cannot be i cr~dited against income taxes due . \ 450

DECISION - CTA CASES NOS. 3754 and 3794 - 2- It does appear that petitioner's Annual Income Tax Returns reflected net losses in the amounts of E! 2 27 � 0 0 for 19 8 2 (Exhibit B 11 11 ) and E! 13 , 0 31 � 00 for 1983 (Exhibit "B") and no income taxes being due from petitioner for the said years. Taxes withheld from petitioner's receivable incomes covered by such re- qui$ite statements or certifications of tax withheld at source consistent with the pertinent revenue regulations aggregated the sums of E!lll,J48.00 for 1982 (Exhibits "C", "C-1", "C-2", "C-3" and "C-4" ; CTA Case No. 3754), and E76,474.00 for 1983 (Exhibits "C", "C-1", "C-2", "C-3", "C-4" and "C-5"; CTA Case No . 3794). It does not appear that the respondent presented any evidence controverting the correctness of the returns and other material facts. As a factly matter, respondent submitted the cases for decision on the basis of the pleadings and the records after the peti- tioner has presented and offered its evidence. It may suffice that "Since one who prays for judgment on the pleadings without offering proof as to the t~uth of his allegations, must be understood to have admitted the truth of all the material and relevant \ 45.i

DECISION - CTA CASES NOS. 3754 and 3794 - 3- allegations of the opposing party, and to rest his motion for judgment on these allegations taken together �� with such of his own as are admitted (Bauer mann v. Casas, 10 Phil. 386; Evangelista v. De la Rosa, et al., may be cons idered as not questioning seriously peti- tioner 1 s entitlement to its c laim for refu nd. More so when the evidence presented, which was not disputed by respondent, sufficiently establjshes petitioner's right to the refund". (Commonwealth Management and Service Corporation v. Commissioner of Internal Revenue, CTA Case No. 3232, June 26, 1985.) We hesitate to further fashion an issue into a satisfactorily settled rule. We likewise share the view expressed in CTA Cases Nos. 3383 and 3578, June 30, 1987, similar in many or so in tenor and circumstances involving the same peti- tioner which aptly applies to the cases at bar, thus - The cases before Us hardly presents a gripping question or require any tor- tured ratiocination. As th us shown the basis for the claims a re not short of spec ific support in terms of tractable data openly laid and fully disclosed. Going by the records, petitioner's income tax returns for the subject taxable years have shown losses and excess income tax payments. Respondent points to no factual errors nor superfluities which need be \ 452.

DECISION - - 4- CTA CASES NOS. 3754 and 3794 .. abri dged. Neithe~ were there any deficiency assessments issued. More- over, the records make it clear that the requisite statements or cert~fi cations of the income taxes withheld and deducted by the withholding agents through which respondent collected the income taxes and ' upon which tacked the claimed refund could furnish the basis for a de finite resolve. But official action thereon appears consigned to a limbo of lingering verification, to date! We do not think any different conclusion ought to follow. The petitioner has fared consistent with the requirements of law and regul ations in establish- ing its rightful claim . to the refund sought. ACCORDINGLY, respondent is hereby ordered to grant the refund to the �petitioner the amounts of ~ 111 , 34 8 �00 and ~76,474.00 representing erroneously paid income taxes for the years 1982 and 1983, respectively. No costs. SO ORDERED. Quezon City , Metro Manila, July 31, 1987. ~~REYES Associate Judge