COMMISSIONER OF INTERNAL REVENUE v. PMAC BUSINESS OPERATIONS, INC.

REPUBLIC OF THE PHILIPPINES COURT OF TAX APPEALS QUEZON CITY ENBANC COMMISSIONER OF INTERNAL CTA EB NO. 2885 REVENUE, (CTA Case No. 10391) Petitioner} Present: -versus- DEL ROSARIO, P.J.} RINGPIS-LIBAN, MANAHAN, BACORRO-VILLENA, MODESTO-SAN PEDRO, REYES-FAJARDO, CUI-DAVID, FERRER-FLORES, and ANGELES, JJ. PMAC BUSINESS OPERATIONS Promulgated: INC., DEC 26 202~ Respondent. ){- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -){ RESOLUTION On April 4 , 2024, petitioner filed, through registered mail, a Petition for Review assailing the Decision dated November 24, 2023 (the "assailed Decision") and the Resolution dated February 21, 2024 (the assailed "Resolution") issued by the Court's Special Third Division. Petitioner alleged that he received a copy of the assailed Resolution on March 1, 2024. 1 Under Section 3(b), Rule 82 of the Revised Rules of the Court of Ta){ Appeals (RRCTA), petitioner had fifteen (15) days from receipt of the assailed En Bane (EB) Docket, p. 5. SEC. 3. Who may appeal; period tofile petition. ... (b) A party adversely affected by a decision or resolution of a Division of the Court on a motion for reconsideration or new tri al may appeal to the Court by filing before it n petition for review within fifteen d ays from receipt of a copy of the questioned decision or resolution . Upon proper motion and the payment of the full amo unt of the docket and othe r lawful fees and deposit for costs before the expiratio n of the reglementary period herein fixed, the Court may grant an additional period not exceeding fifteen days from the expiration of the original period within which to file the petition for review. (Emphasis supplied)

RESOLUTION CTA EB NO. 2885 (CTA Case No. 10391) Commissioner of Internal Revenue v. PMAC Business Operations Inc. ){-------------------------------------------------------------------------------X Resolution, or until March 16, 2024, to appeal to the Court En Bane. Before the expiration of the reglementary period, or on March 14, 2024, petitioner filed a Motion for Extension of Time to File Petition for Review,3 praying for an extension of fifteen (15) days from March 16, 2024, or until March 31,2024, to file the petition. The Court En Bane granted the motion, extending the deadline to March 31,2024.4 Since March 31,2024, fell on a Sunday, petitioner had until the next working day, April 1, 2024, to file the petition for review. However, a review of the case records revealed that the instant Petition for Review was filed three (3) days late on April 4, 2024,5 and no affidavit of service was attached thereto. Thus, on August 15, 2024, the Court issued a Resolution directing petitioner to submit proof of timely filing and an affidavit of service of the Petition for Review within five (5) days from notice. The said Resolution was received by the Office of the Solicitor General on September 4, 2024, and by Atty. Dyne B. Medina of the Bureau of Internal Revenue on August 20, 2024. Despite this directive, a verification of the records on October 22, 2024, revealed that petitioner had failed to submit the required proof of filing and affidavit of service of the Petition for Review. It must be emphasized that an appeal is neither a natural nor constitutional right but a statutory privilege.6 Parties who seek to avail of this privilege must comply with the statutes or rules allowing it.? The perfection of an appeal, in the manner and within the period prescribed by law, is not only mandatory but jurisdictional. This means that the failure to interpose a timely appeal deprives the appellate body of any jurisdiction to alter the final judgment, more so to entertain the appeal. 8 FB Docket. pp. 1-3. Larra:::abal Minute Resolution dated March 15. 2024. EB Docket. p. 4. Supra n0te 1. Spouses Dorao v. Spouses BBB and CCC. G.R. No. 235737. April 26. 2023: Corral v. /naki J Enterprises. G.R. No. 199107. August 30.2017. A)r France Philippines v. Leaclwn. G.R. No. 134113. October 12.2005. Bureau of!nterna/ Revenue v. TICO Insurance Co.. Inc.. G.R. :-Jo. 204226. April\8. 2022.

RESOLUTION CTA EB NO. 2885 (CTA Case No. 10391) Commissioner of Internal Revenue v. PMAC Business Operations Inc. x-------------------------------------------------------------------------------x Even assuming that the instant Petition was filed on time, the Court retains the authority to dismiss this case. Under Section 3, Rule 17 of the Revised Rules of Court,9 a case may be dismissed if the plaintiff fails to comply with any order of the Court. Likewise, Section 5, Rule 13510 of the Revised Rules of Court grants the Court the authority to "control its processes and orders" and "compel obedience to its judgments, orders, and processes." These provisions reinforce the Court's inherent authority to ensure compliance with its directives and uphold the integrity of judicial proceedings. Applying Section 3, Rule 17 and Section 5, Rule 135 of the Revised Rules of Court, petitioner's failure to comply with the Court En Bane's directives - such as the non-submission of proof of filing and the affidavit of service - provides sufficient grounds for dismissal of the case. In conclusion, petitioner's failure to perfect the appeal within the prescribed period precludes the Court En Bane from acquiring jurisdiction over the case. Furthermore, petitioner's non-compliance with the Court's directives, despite due notice, constitutes a clear violation of procedural rules and justifies the dismissal of the case pursuant to the aforementioned provisions of the Revised Rules of Court. WHEREFORE, premises considered, the instant Petition for Review filed by petitioner Commissioner of Internal Revenue is DISMISSED for being filed out of time and for failure to comply with the Court's lawful orders. SEC. 3. Dismissal due !a fault ofplainlijf -If, for no justifiable reason, the plaintiff fails to appear on tht;! date of the presentation of his or her e\'idence in chief on the complaint. or to prosecute his or her action for an unreasonable length of time. or to comply with these Rules or any order of the court, the complaint may be dismissed upon motion of the defendant or upon the court's own motion. without prejudice to the right of the defendant to prosecute his or her counterclaim in the same or in a separate action. This dismissal shall have the effect of an adjudication upon the merits. unless otherwise declared by the court. (Emphasis supplied) 10 SEC. 5. InherenT pmfers ofcourt.- Every court shall ha\'e pmver: (a) To preserve and enforce order in its immediate presence: (b) To enforce order in proceedings before it. or be!Ore a person or persons empowered to conduct a judicial investigation under its authority: (c) To compel obedience to its judgments. orders and processes. <md to the Ia\\ ful orders of a judge out of court. in a case pending therein: (d) To control. in furtherance ofjustice. the conduct of its ministerial ofticers. and of all other persons in any manner connected with a case befOre it. in e\�ery manner appertaining thereto: (e) To compel the attendance of persons to testifY in a case pending therein: (f) To nrlmini ...ter nr C'<lli:-E' tn he nrlmini:-tcrerl nnths inn cn~e rending therein. anrl in all nthcr c<1scs where it mav he necessary in the exercise of its powers: � (g) To amend and control its process and orders so as to make them conformable to law and justice; (h) To authorize a copy of a lost or destroyed pleading or other paper to be tiled and used instead of the original. and to restore. and supply deficiencies in its records and proceedings. ~

RESOLUTION CTA EB NO. 2885 (CTA Case No. 10391) Commissioner of Internal Revenue v. PMAC Business Operations Inc. Page 4 of4 X-------------------------------------------------------------------------------X SO ORDERED. Presiding Justice ~- ~ ___,_ '-- MA. BELEN M. RINGPIS-LIBAN Associate Justice � c~ J; Ate...J,..._____ CATHERINE T. MANAHAN Associate Justice ~ ON LEAVE MARIAN IVY F. REYES-FAJARDO Associate Justice ~ttn~ LANEE S. CUI-DAVID Associate Justice C~ O~O- N ) G..FV ERR. ER:~ .:!~ .~ Associate Justice . HENR)f ANGELES Associate Justice