PEOPLE OF THE PHILIPPINES v. SHU WAI PAC (President/Director), and KIM FAI TUNG (General Manger) [Lot 8, Block 9, Phase 1, PEZA, Rosario, Cavite] (Consolidated with Case No. O-182)

REPUBLIC OF THE PHILIPPINES Court of Tax Appeals QUEZON CITY Second Division PEOPLE OF THE PHILIPPINES, CTA Crim. Case No. 0-181 Plaintiff, (IS No. 2006-312) For: Failure to File Return (Violation of Sec. 255 of the 1997 NIRC) -versus- SHUI WAI PAC (President/Director) and KIM FAI TUNG (General Manager) [Lot 8, Block 9, Phase 1, PEZA, Rosario, Cavite] -Both AT-LARGE-, Accused. X-------------------------------------------X PEOPLE OF THE PHILIPPINES, CTA Crim. Case No. 0-182 Plaintiff, (IS No. 2006-312) -versus- For: Failure to Pay Tax (Violation of Sec. 255 of the 1997 NIRC) Members: SHUI WAI PAC (President/Director) RINGPIS-LIBAN, Chairperson, MODESTO-SAN PEDRO, and and KIM FAI TUNG (General FERRER-FLORES, JJ Manager) [Lot 8, Block 9, Phase 1, Promulgated: OCT 0 8 LOZ4 PEZA, Rosario, Cavite] r� n, .,.. ------------------- X -Both AT-LARGE-' Accused RESOLUTION For the Court's resolution is plaintiffs Motion for Reconsideration (of the Resolution dated August 09, 2024) , filed on August 27, 2024, assailing this Court's dismissal of the case at bar on the ground of prescription. The Motion raises a single good point but ultimately lacks merit.

RESOLUTION CTA Crim. Case Nos. 0-181 & 0-182 Page 2 of3 First, the Court acknowledges that We were, indeed, mistaken in identifying the start ofthe prescriptive period. The five-year period should not be counted from March 24, 2005, the date on which the assessment notices were issued, as We did in the Resolution. It must instead be counted from April24, 2005, the lapse ofthe period within which accused should have acted on said assessment notices. This still only gave plaintiff until April 24, 2010 within which to file the instant Informations. As these were filed on June 18, 2010, the government's right to prosecute the alleged crime still prescribed. Plaintiffs use ofjurisprudence here, meanwhile, is misplaced. Tupaz v. Ulep 1 was decided in 1999, before the promulgation of the Revised Rules of the Court of Tax Appeals ("RRCTA") in 2005, on which plaintiff is tellingly silent. Said Decision consequently cannot be used to negate the clear provision of Rule 9, Section 2 of the RRCTA, which establishes that the prescriptive period is suspended by the filing of an Information with the Court, not with the filing of a complaint with the Department of Justice. People v. Lee2 and Panaguiton v. Department ofJustice3 are similarly inapplicable here. These involve crimes whose prescriptive periods are governed by Act 3326, as amended by Act 3763. Said Act provides prescriptive periods for special laws that do not provide their own prescriptive period.4 However, the National Internal Revenue Code of 1997, as amended ("NIRC'), already provides a prescriptive period for violations of its provisions through its Section 281. The crimes involved in the two Decisions also do not seem to have equivalents to Rule 9, Section 2 of the RRCTA separately specifying when their prescriptive periods are interrupted. Consequently, the jurisprudence cited by plaintiff cannot be applied to the case at bar. Indeed, a review of the assailed Resolution shows that the Court used the RRCTA as the primary basis for declaring the filing of an Information with the Court as the act which interrupts the prescriptive period. Given plaintiff's complete silence on said Rules, paired with the inapplicability of its cited jurisprudence, the Court cannot accept its position. The dismissal of this case must be affirmed. ACCORDINGLY, plaintiff's Motion for Reconsideration (of the Resolution dated August 09, 2024), filed on August 27, 2024, is hereby DENIED for lack of merit. The Resolution, dated August 9, 2024, is hereby AFFIRMED. G.R. No. 127777, October 10, 1999. G.R. No. 234618, September 16, 2019. G.R. No. 167571 , November 25, 2008. / d.

RESOLUTION CTA Crim. Case Nos. 0 -181 & 0-182 Page3 of3 SO ORDERED. ~. ~ - ? '-- MA. BELEN M. RINGPIS-LIBAN Associate Justice (On Leave) CORAZON G. FERRER-FLORES Associate Justice