Allen Arthur, Inc. vs. Commissioner Revenue, et al.

DECISION

This is a judicial claim for tax credit of value- added taxes (VAT) in the amount of P329,295.71 representing input taxes on domestic purchase of taxable goods and services covering four taxable quarters from March 1, 1990 up to February 28, 1991. Petitioner is a corporation organized and existing under and by virtue of the laws of the Republic of the Philippines.

It is engaged in the business of exporting toupees, wigs, wiglets, hairpieces and other related accessories, and also, of selling raw materials such as doll wigs, to export-oriented Board of Investment (BOI) registered enterprises; The antecedent facts are as follows: On December 20, 1991, petitioner filed with respondent a claim for tax credit of the abovestated 1367

- 2 - amount of input taxes in accordance with Section 106 (a) and (b) of the National Internal Revenue Code ( Tax Code, for brevity) in relation with Section 16 (a) of Revenue Regulations No. 5-87.

On June 19, 1992, with the statutory period of two

(2) years within which to file a claim for tax credit and/or refund of said VAT input taxes allegedly about to lapse without action on the part of the respondent, petitioner commenced the instant petition for review. Petitioner is a VAT registered entity with an approved application for zero-rating on its sales of raw materials to export-oriented HOI-registered enterprises pursuant to Sections 107 and 100 (a) (2) of the Tax Code. From March 1, 1990 to February 28, 1991, petitioner generated and recorded zero-rated sales amounting to P59,678,160.24 which were paid for in convertible foreign currency inwardly remitted through the banking system in accordance with existing regulations of the Central Bank of the Philippines.

Correspondingly, it paid VAT input taxes on its domestic purchase of taxable goods and services allegedly attributable to said sales amounting to P329,295.71 for the same period.

It further alleges that the input taxes being claimed for tax credit have not been applied to any VAT output tax liability during 1368

- 3 - said taxable quarters or any succeeding quarters pursuant to Section 106 of the Tax Code. (Petition for Review, p.

5) In her answer, respondent avers, inter alia, as special and affirmative defenses the failure of the petitioner to state any cause of action under Section 204 of the Tax Code.

She asserts that petitioner begs the issue as it failed to show on the face of the petition that the collection of the tax liability in the amount of P329,295.71 is illegal and erroneous, as against the legal presumption that the collection thereof is lawful and regular.

In addition, she alleges that the claim for "refund" is still under investigation, and thus prays for the dismissal ot the petition for lack of merit. lt is to be noted that respondent did not submit any quantum of evidence in support of her assertions including the filing of her memorandum, which leaves the court no recourse but to decide this case on the basis of pleadings, testimonies and evidences presented by petitioner.

The only issue in this appeal is whether or not petitioner is entitled to the issuance of Tax Credit Certificate on VAT input taxes it paid. We rule in the affirmative. 13G9

- 4 - Petitioner has complied with the requirements of a valid claim for tax credit under Section 106

(a) and (b) of the Tax Code, as implemented by Revenue Regulations No. 5-87, as amended, namely:

1) The exporter must be VAT-registered; 2) An application for tax credit/refund of VAT paid (BIR Form No.

2552) shall be filed with the Revenue District Office; 3) A photocopy of the purchase invoice or receipt evidencing VAT paid shall be submitted together with the application; 4) Photocopy of export document showing the amount of export, and the date and destination of the goods exported; 5) Statement from the Central Bank or any of its accredited agent banks that the proceeds of the sale in acceptable foreign currency has been inwardly remitted and accounted for in accordance with applicable banking regulations; 6) That such input taxes paid has not been applied to output taxes; and, 7) The VAT (input and entirely exported.

tax) paid must be directly attributable to the goods It has also made a timely appeal in accordance with Section 110

(b) in relation with Section 230 of the Tax -~- Code which provide, to quote: "SEC.

110. Return and payment of V<d ue-added tax.- XXX XXX 1370

- 5 -

(b) Time for filing ot return and payment of tax.-The return shall be filed and the tax paid within 20 days following the end of each quarter specifically prescribed for a VAT-registered person XXX" (Underscoring supplied) "SEC.

230.

Recovery of tax erroneously or illegally collected.- No suit or proceeding shall be maintained in any court for the rec.overy of any nat iona 1 internal revenue tax hereafter alleged to have been erroneously or illegally assessed or collected, or of any penalty claimed to have been collected without authority or of any sum alleged to have been excessive or in any manner wrongfully collected, un~il a claim for refund or credit has been duly filed with the Commissioner; but such suit or proceeding may be maintained, whether or not such tax, penalty, or sum has been paid under protest or duress.

In any case, no suit or proceeding shall be begun after the expiration of two years from the date of payment of the tax or penalty regardless of any supervening cause that may arise after payment:

Provided, however, That the Commissioner may, even without a written claim therefor, refund or credit any tax, where.

on the face of the return upon which payment was made, such payment appears clearly to have been erroneously paid.

XXX" (Underscoring supplied) The prayer of respondent that this case be dismissed ',1· on account bf its· alleged pendency before her office is not well taken.

Our Supreme Court "has consistently adhered to the rule that the claim for refund [or credit] should first be filed with the Commissioner of Internal Revenue, and 13'71 - 6 - the subsequent appeal to the Court of Tax Appeals must be instituted, within the said two year period.

If, however, the Commissioner takes time in deciding the claim, and the period of two years is about to end, the suit or proceeding must be started in the Court of Tax Appeals before the end of the two year period without awaiting the decision of the Commissioner."(Insular Lumber Co., Inc. vs. CTA, 104 SCRA 721) Records show that petitioner, in support of its claim, has formally offered in evidence the following documents

1) VAT

registration certificate, 2) duly approved application for zero-rating of its sales of raw materials to Tikicraft Industries, Inc., an export- oriented BOT-registered enterprise, 3) BOI certification dated February 1, 1990 showing that Tikicraft Industries, Inc. has exported more than 70% of its total sales from January to December 1989 and favorably endorsing its application for zero-rating with the BIR, 4) application for tax crecJtt/refund of V~T (P,IR:fp_r~ ~~g. 2552),

5) VAT

. J : .:

. . ~ ' .

.i -·· qu~rterl:r t;~t4n1s 'aeparat~ly filec:J. on·· June 20, 1990, Septempet 20, 1Q90, ,.

December 20, f~f90, and March 30, ;

~ . -:' 1991, 6) schedul~ of export sales, 7) :

~ .

sales invoices inclusive of airway bills/courier assig~~ent notes, certificates of marking and export de~l tration, 8) bank 1372

- 7 - credit advices/memoranda, 9)schedule of input, taxes, and 10) suppliers invoices and/or official receipts covering the period from March 1, 1990 to February 28, 1991. From the foregoing facts~ it can be gleaned readily that petitioner filed its VAT returns within the twenty- day period after the close of each quarter, and duly filed the instant appeal within the two-year period starting from the filing of the first VAT return with the respondent on June 20, 1990 up to the filing of herein petition for review on June 19, 1992.

Likewise a closer examination of the VAT returns would dislose that petitioner has not applied the input taxes being claimed to any of its output tax liability. Evidently, petitioner's entitlement to tax credit is sufficiently established by the above-listed proofs.

With input taxes definitely in excess of its zero-rated output tax, respondent thus collected such input taxes excessively or in a wrongful manner, and petitioner is, by provisions of Section 106 (a) and (b) in relation with Section 230 of the Tax Code, supra, clearly deserving of its claim for tax credit. A careful scrutiny however of the submitted invoices/receipts on domestic purchase services reveals that most of the input 1 'J ~, ", utu of goods and taxes are not - 8 - directly and entirely attributable to the zero-rated transactions covered by the application for credit.

Hence, input taxes on items such as medicines, office supplies, refrigerator, television set, gas range, copiers, repairs and maintenance of automobiles, grocery items, christmas lights and the like which cannot, in any manner, be directly and entirely attributed to the goods exported are excluded as part of the claim. Hereunder is the detailed computation of the amount of input taxes to be granted to petitioner as tax credit on its domestic purchase of goods and service, to wit: Supplier TBT Skypak One-Source Enterprises Henkel Philippines, Inc. Jarvi! Printing & Services Jarvi! Printing & Services Colorado Cheaical Sales St. Louis International Corp. Chemdyes Corporation Nissin Metals Center Goodwin General Merchandise Williaa Bazar Filipinas lace Center Ferdie's Coa•ercial Pacific Textile Traders Pa•o Fishing Supply Lion Chemical Corporation \leila Cheao-Technische Kfg. ,Inc. Henkel Philippines, Inc. St. Louis International Corp. A/J Hortaleza Vaciador A/J Hortaleza Vaciador Oceanic Sales Pacific Textile Traders VAT Reg. No.

Exh.

Inv/OR t Date 32A-7-000490 23-1-004 761 32A-2-000255 30-1-004076 30-1-004076 32-9-000084-87 30-1-002773 31-900-4326 23-1-004191 22-3000956 22-0-001164 22-7-00676 22-8-001877 22-8-000598 22-2-001691

30A-8-006 314

34-9-000076 32A-2-000255 30-1-002773 33-2-000610 33-2-000610 22-2-000099 22-8-000598 M-3 K-6 K-14 H-25 H-26 H-27 K-28 K-30 H-32 K-36 H-37 H-39 K-40 H-41 K-45 H-57 "-65 H-68 H-69 H-75 K-85 H-87 K-88 74202 1319 13759 149 150 25693 8728 0043 6370 16122 20493 119279 70079 20629 11919 13552 113234 13766 9062 17936 18529 7393 22581 137lj 03-31-90 03-05-90 03-10-90 03-12-90 03-12-90 03-12-90 03-13-90 03-14-90 03-14-90 03-14-90 03-14-90 03-16-90 03-09-90 03-14-90 03-21-90 03-23-90 03-30-90 04-11-90 04-11-90 04-07-90 04-19-90 04-17-90 04-17-90 Inv. hount 895.00 90.00 7,908.75 1 '6 7 2. 00 800.00 12,850.00 6,375.00 2,850.00 3,600.00 30.00 1,431.00 160.00 15,000.00 I ,818.80 190.00 6,400.00 61.60 5,272.50 4,795.00 34.00 435.00 640.50 48.00 Cost 813.64 81.82 7,189.77 1,520.00 727.27 11,681.82 5,795.45 2,590.91 3,272.73 2 7. 27 1,300.91 14 5. 4 5 13,636.36 1,653.45 172.73 5,818.18 56.00 4,793.18 4,359.09 30.91 395.45 582.27 43.64 Input Tax 81.36 8.18 718.98 152.00 72.73 1,168.18 579.55 259.09 327.27

2. 7 3 130.09 14.55 1,363.64 165.35 17.2 7 581.82 5.60 479.32 435.91 3.09 39.55 58.23 4.36

- 9 - Supplier VAT Reg. No.

Exh.

Inv/OR t Date Inv. A11ount Cost Input Tax ABC Hardware 23-9-005547 K-91 25!9 04-17-90 937.50 852.27

85' Z3

Worldwide Packaging 30-5-000443 K-92 6528 04-17-90 18,500.00 16,818.18 1,681.82 Jarvi! Printing & Services 30-1-004076 K-95 152 04-21-90 1,045.00 950.00 95.00 A/J Hortaleza Vaciador

33-2-000610 K-96

18398 04-21-90 775.00 704.55

70. 45 .. Ferdie's Coaaercial 2 2-8-0018 77 K-97 70696 04-10-90 11,726.00 10,660.00 1,066.00 TNT Skypak

32A-7-000490 H-99

75464 05-18-90 I ,590.90 1,446.27 144.63 Chelle -Hark Trading

2 2-7-00 3 59 3 K-100

8520 04-24-90 850.00 772.73 77' 27 ABC Hardware 23-9-005547 K-102 2550 04-24-90 750.00 681.82 68' 18 Pacific Textile Traders 22-8-000598 H-103 24559 04-24-90 442.00 401. 8 2 40' 18 Colorado Cbeaical Sales

32-9-000084-87 K-105

25885 04-11-90 9,500.00 8,636.36 863.64 Colorado Che•ical Sales

32-9-000084-87 H-106

25886 04-11-90 4,500.00 4,090.91 409.09 Chaapion Stationery Co., Inc.

23-7-003080 H-109

53085 04-25-90 10,400.00 9,454.55 945.45 A.G.K. Coamercial 22-5-000161 K-110 5219 04-17-90 12,870.00 11,700.00 1,170.00 Chelle-Hark Trading

22-7-003593 H-112

8530 04-27-90 1,855.00 1,686. 36 168.64 Polyfoam Cheaical Corporation

21-6-000079 H-117

20660 05-05-90 1,805.00 I ,640.91 164.09 Polyfoam Chemical Corporation

21-6-000079 K-118

20408 05-04-90 192.70 175.18 17.52 DHL Philippines Corporation 32-7-000698 H-120 361588 06-20-90 2,092. II I I 901. 92 190.19 Jarvi! Printing & Services

3Q-1-004076 H-124

160 05-01-90 1,567.50 1,425.00 142.50 Henkel Philippines, Inc.

32A-2-000255 H-127

13792 05-12-90 8,787.50 7,988.64 798.86 St. Louis International Corp. 30-1-002713 K-128 9386 05-11-90 10,460.00 9,509.09 950.91 Jarvi! Printing & Services

10-1-004076 H-129

163 05-12-90 1,045.00 950.00 95.00 Lion Chemical Corporation 30A-8-006314 K-134 11822 05-11-90 6,950.00 6,318.18 631.82 ABC Hardware 23-9-005547 H-136 2709 05-15-90 1,867.50 1,697.73 169' 77 William Bazar 22-0-001164 H-137 20607 05-15-90 1,719.00 1,562.73 156.27 Oceanic Sales 22-2-000099 H-138 7490 05-15-90 1,173.00 1,066.36 106.64 Pacific Textile Traders 22-8-000598 H-141 0271 05-15-90 2,703.00 2,457.27 245.73 Jarvil Printing & Services 30-l-004076 K-142 154 05-16-90 1,045.00 950.00 95.00 TNT Skypak

32A-7-000490 H-146

68773 06-06-90 3,304.62 3,004.20 300.42 Colorado Chemical Sales 32-9-000084-87 K-149 26117 05-19-90 4,200.00 3,818.18 381.82 Golorad~ Chemical Sales 32-9-000084-87 K-150 26055 05-11-90 16,200.00 14,727' 27 1,472.73 Colorado Cheaical Sales 32-9-000084-07 K-151 26068 05-12-90 17,550.00 15,954.55 1,595.45 Colorado Chenical Sales 32-9-000081,-87 H-152 26069 05-12-90 4,200.00 3, 818' 18 381.82 A.G.H. Ooaaercial 22-5-000161 H-153 5319 05-15-90 15,495.00 14,086.36 1,408.64 TNT Skypak 32A-7-000490 K-156 15263 06-02-90 1,589.30 3,263.00 326.30 Jarvi! Printing & Services 30-1-004076 H-157 170 06-05-90 1,045.00 950.00 95.00 Jarvil Printing & Services

30-1-004076 K-158

171 06-05-90 1,800.00 1,636.36 163.64 Ghaapion Stationery Co., Inc.

23-1-003080 H-165

54031 06-11-90 5,200.00 4,727.27 472.73 Ferdie's Commercial 22-8-001877 H-167 11466 05-18-90 15,000.00 13,636.36 1,363.64 Jarvi! Printing & Services 30-1-004076 K-168 175 06-13-90 836.00 760.00 76.00 Worldwide Packaging 30-5-000443 H-169 6564 06-14-90 18,500.00 16,818.18 1,681.82 Pacific Textile Traders 22-8-000598 K-171 1285 06-15-90 568.00 516.36 51.64 Bon Kee Commercial, Inc.

22-1-001191 H -17 2

70666 06-15-90 496.00 450.91 45.09 Ferdie's Com•ercial 22-8-001877 K-173 71952 06-15-90 1,470.00 1,336.36 133.64 Oceanic Sales

22-2-000099 H-174

7596 06-15-90 865.00 786.36 78.64 A.G. Tan! i11co Co., Inc. 23-9-006776 H-175 0263 06-18-90 1,560.00 1 ,418.18 141.82 Henkel Philippines, Inc. JZA-2-000255 H-176 13193 06-16-90 4,393.75 3,994.32 399.43 1375

- 10 - Supplier VAT Reg. No.

Ex:h, rnv/OR t Date Inv. Amount Cost Input Tax Colorado Chemical Sales 32-9-000084-87 H-177 26270 06-14-90 6,500.00 5,909.09 590.91 Jarvi! Printing & Services

30-1-004076 H-179

165 06-20-90 3,160.00 2,872. 73 287.27 A.G.K. Coaaercial 22-5-000161 K-197 5569 06-15-90 6,080.00 5,527.27 552.73 TNT Skypak

32H-000490 H-198

71333 07-31-90 2,580.60 2,346.00 2H.60 DHL Philippines Corporation

3 2-7-000698 H-200

38 3995 07-23-90 2,276.09 2,069.17 206.92 DHL Philippines Corporation

32-7-000698 K-217

153337 05-10-90 603.07 548.25 54.82 llilliaa Bazar

22-0-001164 H-219

20700 07-07-90 70.00 63.64 6.36 St. Louis International Corp. 30-l-002773 K-224 10090 07"01-90 7,555.00 6,868.18 686.82 Colorado Chemical Sales 32-9-000084-87 K-227 26418 07-11-90 18,200.00· 16,545.45 1,654.55 Lion Chemical Corporation

30A-8-006314 H-234

14235 07-12-90 6,400.00 5,818.18 581.82 Cheadyes Corporation

31-900-4326 K-236

0072 07-13-90 1,375.00 1,250.00 125.00 Henkel Philippines, Inc. JZA-2-000255 H-241 14284 07-14-90 4,393.75 3,994.32 399.4] Sengkon Trading 22-6-001176 K-243 459398 07-15-90 1,903.85 1,730.77 17 3. 08 Pacific Textile Traders 22-8-000598

H- 24 4

4215 07-16-90 2,319.00 2,108.18 210.82 Oceanic Sales 22-2-000099 H-245 7755 07-16-90 1,097.50 99 7. 13 99.77 Ferdie's Commercial 22-8-001877 H-246 72566 07-16-90 886.00 805.45 80.55 Ferdie's Coamercial 22-8-001877 H-251 72450 07-11-90 9,000.00 8,181.82 818.18 Jarvi! Printing & Services

30-1-004076 H-255

180 07-19-90 1,045.00 950.00 95.00 Chaapion Stationery Co., Inc. 23-7-003080 K-256 54 771 07-13-90 6,240.00 5,672.13 567.27 Citkiason Import-Export, Inc.

30-2-000586 H-260

71042 07-19-90 836.00 760.00 76.00 ABC Hardware 23-9-005547 K-262 3254 07-19-90 ' 750.00 681.82 68.18 Goodwin General Merchandise 22-3000056 H-263 16655 07-19-90 6 7 '50 61.36 6.14 ABC Hardware 23-9-005547 K-268 2841 07-23-90 2,625.00 2,386.36 238.64 Jarvi! Printing & Services 30-l-004076 H-273 181 07-25-90 1,045.00 950.00 95.00 A.G.K. Co•mercial 22-5-000161 H-280 5746 07-16-90 18,535.00 16,850.00 1,685.00 Chaapion Stationery Co. I Inc.

23-7-003080 H-284

55118 07-30-90 52,000.00 47,272.73 4,727.27 TNT Skypak 32A-7-000490 K-290 72814 09-08-90 8,578.20 7,798.36 77 9. 84 Jarvi! Printing & Services

30-1-004076 H-295

182 08-03-90 940.50 855.00 85.50 Jarvi! Printing & Services 30-1-004076 H-301 156 08-06-90 836.00 760.00 76.00 Jarvi! Printing & Services 30-l-004076 H-302 183 08-07-90 1,045.00 950.00 95.00 TNT Skypak 32A-7-000490 H-303 72815 09-08-90 2,759.90 2,509.00 250.90 Colorado Chemical Sales

32-9-000084-87 H-306

26566 08-08-90 17,500.00 15,909.09 1,590.91 Jarvi! Printing & Services 30-1-004076 H-307 184 08-10-90 940.50 855.00 85.50 Chemdyes Corporation

31-900-4326 H-313

0078 08-14-90 1,375.00 1,250.00 125.00 Worldwide Packaging 30-5-000443 H-315 6590 08-15-90 18,352.00 16,683.64 1 ,668. 36 St. Louis International Corp. 30-l-002773 H-317 10506 08-16-90 7,610.00 6,918.18 691.82 Jarvi! Printing & Services 30-1-004076 K-327 188 08-20-90 1,567.50 1,425.00 142.50 Henkel Philippines, Inc. 32A-2-00025S H-331 14348 08-20-90 4,625.00 4,204.55 420.45 Ferdie's Commercial 22-8-001977 H-333 73231 08-21-90 1,643.00 1,493.64 149.36 Oceanic Sales

22-2-000099 H-335

7875 08-21-90 2,180.50 1,982.27 198.23 Pacific Textile Traders

22-8-000598 H-339

9050 08-21-90 1,459.00 1,326.36 132.64 Ferdie's Commercial 22-8-001877 H-400 73189 08-15-90 12,500.00 11,363.64 1,136.36 Jarvi! Printing & Services 30-l-004076 H-406 190 08-23-90 1,045.00 950.00 95.00 Republic Chemical Ind., Inc. 30A-2-0000Z4 H-409 237900 08-26-90 6,750.00 6,136.36 613.64 Jarvi! Printing & Services 30-l-004076 H-410 192 08-29-90 1,776.50 1,615.00 161. 50 Lion~Chemica1 Corporation

30A-8-006314 H-411

14431 08-17-90 550.00 500.00 50.00 1376

DECISION -

C.T.A. Case No. '•821. - 11 - Supplier v~r Reg. No.

Exh.

Inv/OR I Date Inv. Amount · Cost Input fax' TNT Skypak ·

32A-7-000490 H-415

7 6 40 7 09-29-90 2, 791.80 2,538.00 253.80 A.G.H. Co11ercial H-5-000161 K-428 6054 08-21-90 9,276.00 8,432. 73 843.27 California Che1ical Corp.

31~6-0001911 H-43J 042142

09-06-90 6,500.00 5,909.09 590.91 St. Louis International Corp. 30-1-002713 H-437 10780 09-10-90 12,125.00 11,022.73 1,102.27" Republic Chemical Ind., Inc. JOA-2-000024 K-444 238t.45 09-06-90 7,500.00 6,818.18 681.8 2 Worldwide Packaging 30-5-000443 H-451 6604 09-14-90 18,500.00 16,818.18 1,681.82 St. Louis International Corp. 10-1-002713 K-452 10786 09.-11-90 385.00 350.00 35.00 Colorado Chemical Sales

32-~~000084-87 H-453

26741 09-12-90 25,950.00 23,590.91 2,359.09 Colorado Cheaical Sales 32-9-000084-87 H-454 26749 09-12-90 45,750.00 41,590.91 4,159.09 Henkel Philippines, Inc. 32A-2-000255 H-459 14395 09-15-90 9,250.00 8,409.09 840.91 Lion Cheaical Corporation 30A-8-006314 K-466 14586 09-18-90 7,200.00 6,545.45 654.55 Colorado Cheaical Sales

32-9·000084-87 H-469

26742 09-12-90 15,300.00 13,909:09 1,390.91 Colorado Chemical Sales 32-9-000084-87 H-1.70 26747 09-13-90 21,900.00 19,909.09 1, 990.91 Jarvi! Printing & Services

30-1-004076 H-474

194 09-20-90 836.00 760.00 76.00 Pacific Textile Traders

22-8-000598 H-476

9999 09-20-90 138.00 125.45 12.55 Sangkon Trading 22-6-001176 K-480 478836 09-20-90 689' 70 6 2 7. 00 62.70 Joj ef Marketing 2 2-3-00 lt43 9 H-481 867 09-20-90 798.00 725.45 72.55 Abc Hardware 23-9-005547 H-482 3095 09-17-90 4,600.00 4,181.82 418.18 O'.eanic Sales 22-2-000099 K-483 7964 09-20-90 3,765.00 3,422.73 342 .l1 P~cific Textile Traders 22-8-000598 H-484 9994 09-20·90 1 '!50 0 00 1,045.45 104.55 rerdie's Commercial 22-8-001877 H-488 73693 09-13-90 21,836.00 19,850.91 1,985.09 Jarvi! Printing & Services 30-1-004076 H-492 195 09-27-90 1,500.00 1,363.64 136.36 Gitki1son Ilport-Export, Inc. 30-2-000586 K-503 73345 10-01-90 272.00 247.27 24.73 TNT Skypak 32A-7-000490 H-510 77537 10-30-90 5,828.13 5,298.30 529.B3 Jarvi! Printing & Services

30-1-004076 H-515

197 10-03-90 1,000.00 909.09 90.91 Jarvi! Printing & Services 30-1-004076 K-516 196 10-03-90 2,500.00 2,272. 73 227.27 Citkimson Import-Export, Inc. 30-2-000586 H-521 73425 10·03-90 124.50 113' 18 l!. 32 Sergon Marketing 23-7-003411 H-523 l1 5961 10-04-90 156.00 141.82

14. 18 A.G. Tan! imco Co., Inc. 23-9-006 776 H-525 0860 10-05-90 304.00 276.36 2 7. 6 4 Allied Thread

JH-000147 K-530

202546 09-19-90 6,694.73 6,086.12 608.61 Wella Cheao·Technische Mfg. ,Inc.

34-9-000076 H-536

160782 10-09-90 2,479.00 2,253.64 225.36 Jarvi! Printing & Services

30-1-004076 H-539

200 10-10-90 875.00 795.45 79.55 St. Louis International Corp. 30-l-002773 H-544 11076 10-11-90 1,700.00 1,545.45 154.55 Cheadyes Corporation

31-900~4326 H-545

080 10-11-90 1,687.50 1,534.09 153.41 Champion Stationery Co., Inc.

23-7-003080 K-546

121505 . 10-12-90 750.00 681. 8 2 68.18 Citizen Shoe Supply 23-5-001797 H-551 54129 10-13-90 75.00 68.19 6.82 Sheratori Shoe Supply

23~0-003567 H-552

18696 10-13-90 700.00 636.36 63.64 Sheraton Shoe Supply 23-0-003567 K-553 18703 10-15-90 2,100.00 1,909.09 190.91 Theo-Paa Trading Corporation

33-1-000199 K-564

047948 10-18-90 517. 7 0 470.64 4 7. 06 Oceanic Sales

22-2-000099 H-567

8120 10-19-90 1,350.00 1,227.27 122.73 Ferdie's Commercial 22-8-001877 H-568 74327 10-19-90 2,035.00 1,8~0.00 185.00 Sengkon Trading 22-6·001176 H-571 48 7708 10-19-90 294.00 267.27 26.73 Colorado Cheaical Sales 32-9-000084-87 H-578 269:wi 10-19-90 4,850.00 4,409.09 440.91 Henkel Philippines, Inc. JZA-2-000255 H-579 14633 10-20-90 9,250.00 8,409.09 840.91 Jarvi! Printing &·Services JO-l-004076 H-580 203 10-22-90 1,875.00 1,704.55 170.45 Jarvi! Printing & Services . J0-1-004076 H-585 205 10-25-90 1,250.00 1,136.36 113. 6'• 1377

Jarvil Printing & Services Jarvil Printing & Services Lion Chenical Corporation Sheraton Shoe Supply THT Skypak Gramaege Metalcraft Gramaege Metalcraft Colorado Cherical Sales AGH. Commercial A.G.M. Commercial Wella Chemo-Technische Hfg.,Inc.

A.G.4. Commercial St. Louls International Corp. St. Lovis International Corp. Sheraton Shoe Supply Sengkon Trading Oceanic Sales Pacific Textile Traders Pano Fishing Supply Cheadyes Corporation Theo-Paa Trading Corporation Jarvil Printing & Services Worldwide Packaging Jarvil Printing & Services Gramaege Hetalcraft Lion Chemical Corporation Jarvil Printing & Services ABC Hardware Dragon Knight Ind. Phil., Inc. Dragon Knight Ind. Phil., Inc. St. Lovis International Corp. Worldwide Packaging Cheedyes Corporation _ Chemdyes Corporation Neo-Star Enterprises Neo-Star Enterprises Jarvil Printing & Services Granaege Hetalcraft Cofordds Chealcal Sales Chaapion Stationery Co., Inc. Henkel Philippines, Inc.

THT Skypak Ferdie’s Coamercial Sheraton Shoe Supply Oceanic Sales Ferdie’s Commercial 14-9-000076 22°5-000161 30-1-002773 30-1-002773 23-0-003567 22-6-001176 22-2-000099 22-8-000598 22-2-001691 31-900-4326 34-1-000199 10-1-004076 30-5-000443 30-1-004076 29-2-002511 30A-8-006314 30-1-004076 23-9-005547 30-6-006605 30-6-006605 30-1-002773 40-5-000443 31-900-4326 341-900-4326 29-9-003856 29-9-003056 30-1-004076 29-2-002517 12-9-000084-87 23-7-003080 324-2-000255 32447-00490 2b+8-001877 2440-003567 t242-000099 2b+8-001877 2 at Exh.

H-593 4-596 4-597 H-603 H-608 N-610 H-611 H-628 K-630 K-631 H-632 {-630 K-633 M-634 K-635 H-637 4-638 4-639 H-641 4-652 K-653 4-654 4-659 4-661 4-663 N-674 H-675 K-680 K-682 4-683 H-684 4-690 4-692 H-693 N-694 4-695 K-699 H-706 H-707 K-710 K-77 4-720 N~724 H-725 4-739 4-740 Inv/OR Date 206 «=—:10-26-90 209 10-29-90 14834 = 10-29-90 18889 = 10-30-90 020506 11-03-90 056 «11-02-90 061 11-05-90 27014 «11-12-90 6562 11-06-90 6563 11-06-90 167697 = 11-14-90 6562 11-06-90 1113969 = 11-10-90 11414 = 11-13-90 19036 =. 11-13-90 495324 11-13-90 8206 «11-13-90 11635 = 11-13-90 12494 11-13-90 090 = 11-15-90 048200 =11-15-90 210 = 11-07-90

6631 I1-16-90

212) 11-16-90 049 12-18-90 14995 = 11-19-90 214 = =-11-19-90 3245. 11-20-90 17178 = 11-13-90 17207 = 11-20-90 11534 11-22-90 6639 «11-23-90 692 11-19-90 095 = 11-21-90

00L 41-20-90

002 11-23-90 216 = 11-24-90 065 11-26-90 27050 =: 11-24-90 $7672 11-26-90 15103 11-15-90 79788 = 12-29-90 74058 10-05-90 19211 11-26-90 8282 12-03-90 75349 = 12-03-90 1378 2,000.

3,300.

605, “2,450, 8,499, 4,000.

15,250, 10,900.

18,250.

18,250.

2,974, 18,250.

§,485, 10,625, 10,000.

850.

1,710.

900.

256.

1,962.

569, 1,937.

22,500.

1,250.

15,882.

19,200.

2,937.

2,250, 4,725, 1,750.

19,060.

45,000.

2,337, 1,962.

3,465, 2,887, 1,875, 8,300.

27,800.

39,000.

5,550.

1,635, 11,340, 13,175.

9,155.

3,675.

Inv. Amount 00 00 00 00 00 1,818 3,000 550 2,227 7,726 3,636 13,863 9,909 16,590 16,590 2,704 16,590 7,743 9,659 8,322 3,340 Cost 18 00 00 at 250 36 64 09 91 91 46 91 64 09 9,090.91 73.

1,554, 418.

232.

1,784, 517, 1,761.

20,454, 1,136.

14,438, 17,454.

2,670.

2,045.

4,295.

1,590.

17,327, 40,909, 2,125.

1,784, 3,150.

2,625.

1,704.

7,545, 25,272.

35,454, 5,045, 1,487, 10,309.

11,977.

91 181.82 300.00 55.00 Input Tax 222,73" 772.65 1,732.73 4,090.91 212.50 178,41 315.00 262.50 170.45 754.55 2,527.27 3,545.45 504.55 148.72 1,030.91 1,197.73 832.07 334.09 DECISION - id Exh. Invj/OR ¢ Date Inv. Apount Cost Bon Kee Comaercial, Inc. i : H-742 74873 12-03-90 1,480.00 1,345.45 134.55 New Sultana Modiste Mart Ki H- ~H-745 23572 = 12-04-90 1,500.00 1,363.64 136.36 ABC Hardware i ae H-752 3410 = 12-05-90 6,000.00 5,456.55 545.45 Sengkon Trading an H-753 501736 12-03-90 4,868.85 4,426.23 442.62 ... Pawo Pishing Supply ie M-756 613844 = 12-05-90 102.00 92.73 9,27 Neo-Star Enterprises 93-4 4-761 005 «12-08-90 6,352.50 5,775.00 577.50 Neo-Star Enterprises N-762 004 12-05-90 11,550.00 10,500.00 1,050.00 Neo-Star Enterprises 29-9-003856 H-763 003 = 12-01-90 6,152.50 5,775.00 577.50 New Sultana Modiste Hart 22-4-000022 H~767 23663 12-10-90 1,200.00 1,090.91 109.09 Ferdie’s Commercial 22-8-001877 N-768 75540 12-10-90 276.00 250,91 25.09 Lion Chemical Corporation JOA-8-006314 H-777 24015 12-10-90 1,330.00 “1,209.09 120.91 Champion Stationery Co., Inc. 23-7-003080 H-78) 5799& 12-10-90 130.00 © 118.18 11.82 Neo-Star Enterprises 29-9-003856 4-784 007 = 12-12-90 5,486.25 4,987.50 498,75 Neo-Stac Enterprises 29-9-003956 N-784 006 = 12-12-90 4,042.50 3,675.00 367.50 Ferdie’s Commercial . 22-8-001877 4-786 75632 12-13-90 3,676.00 3,341,082 334,18 Citkimson [mport-Export, Inc. 10-2-000586 H-787 75779 12-14-90 519,00 471.82 47.18 Commoners’ Comnercial 22-8-O01117 N-788 15828 12-14-90 480.00 436,36 43,64 Ferdie’s Coamercial 22-8-001877 4-789 75650 12-14-90 736.00 669.09 66.91 Henkel Philippines, Inc. J2A-2-000255 4-790 15181 12-15-90 = 10,175.00 9,250.00 925.00 Neo-Star Enterprises 29~9-003856 H-794 008 = 12-15-90 4,620.00 4,200.00 420.00 Neo-Star Enterprises 29-9-003856 M-795 009 = 12-17-90 4,331.25 3,937.50 393.75 Jarvil Printing & Services 30-1-006076 H-805 | 217 12-05-90 2,125.00 1,931.82 193.18 Allied Thread 39~4-000147 4-810 210007 12-10-90 6,108.44 §,553.13 555.31 TNT Skypak F2A-7-000490 M-615 B1317 02-19-91 4,781.92 4,447.20 434.72 Gramaege Metalcraft 29-2-002517 H-828 069 01-06-91 2,450.00 2,227.27 222.73 Neo-Star Enterprises 29-9-003856 4-833 010 = 1-12-91 4,908.75 §, 462.50 446.25 Neo-Star Enterprises 29-9-003056 4-834 OlL «01-15-91 5,197.50 4,725.00 472.50 Gramaege Hetalcraft 29-2-002517 4-835 OL 04-15-91 1,250.00 1,136.36 119,64 Gramaege Ketalcraft 29-2-002517 4-836 073 01-15-91 8,550.00 1,772.75 7717.27 Gramaege Metalcraft 29-2-002517 H-837 ° 070 01-08-91 1,400.00 1,272.73 127.27 Gramaege Netalcraft 29+2-002517 4-838 072 01-15-91 4,600.00 4,181.82 418.18 TNT Skypak J2A-7-000490 H-847 82441 02-19-91 1,038.18 943,80 94,38 Bon Kee Commercial, Inc. 22-7-G01191 H-849 261495 1-17-91 198.00 180.00 18.00 A.G.H. Commercial 22-5-Q00161 W-954 47133 01-25-91 75.00 68.18 6.82 Citkiason Import-Bxport, Inc. 30-2-000586 4-855 76857 01-25-91 1,254.00 1,140.00 114,00 South East Commercial Corporation 23~-7-003000 H-857 17945 01-25-91 5,850.00 5,318.18 531.82 Pano Pishing Supply 22-2-001691 4-858 12664 01-25-91 236.00 214.55 21,45 Prosperity flardware 23-4-001691 4-859 20105 01-25-91 2,125.00 1,931.82 193,18 Pacific Textile Traders 22-8-000598 4-860 13948 01-25-91 1,050.00 954.55 95.45 Gramaege Hetalcraft 29-2-002517 N-861 074 «01-26-91 34,425.00 41,295.45 4,129.55 THT Skypak 32 377900490 N-862 023585 01-26-91 1,038.18 943,80 94.38 Jarvil Printing & Services h-m 4-865 229° 01-28-91 1,875.00 1,708.55 170.45 Jarvil Printing & Services $024 -004076 K-866 230 01-28-91 2,300.00 2,090.91 209,09 Henke! Philippines, Inc. i db-000255 N-867 «615497 01-26-91 7,960.00 1,236.36 723.64 Jarvil Printing & Services “8 ¥)'-904076 X-872 231 = 01-30-91 1,250.00 1,136.36 113.64 TNT Skypak Alf H-874 023716 02-02-91 ~ 943,80 458.00 95.80 13879 , No.

Exh.

Inv Inv. hount Cost Neo-Star Enterprises Jarvi! Printing & Services I .

Neo-Star Enterprises Jarvi! Printing & Services Neo-Star Enterprises Pacific Textile Traders A.G.H. Co1aercial A.G.H. CoMmercial Jarvi! Printing & Services Neo-Star Enterprises TNT Skypak Neo-Star Enterprises Well a Cheao-Technische Hfg. ,Inc Jarvi) Printing & Services . Colorado Cheaical Sales Colorado Che~ical Sales Ghemdyes Corporation TNT Skypak Quality Labels, Inc.

Lion Chemical Corporation Jarvi! Printing & Services A.G.H. Co•aercial Joros Enterprises Neo-Star Enterprises TNT Skypak Pacific Textile Traders Pamo Fishing Supply South East Commercial Corporation Bon Kee Couercial, Inc. Oceanic Sales Gra1aege Hetalcraft TNT Skypak

T 0 T A L

03856 -000161 -000161 -004076 -003856 l ·A~7-000490 29-9-003856 . 34-9-000076 30-1-004076 32-9-000084-87 32-9-000084-87 11-900-4326 32A-7-000490 10-9-002056 30A-8-006114 30-1-0011076 2 2-5-000161 22-8-000291 29-9-003856 32A-H00490 22-8-000598 22-2-001691 23-7-003000 22-7-00Il91 22·2-000099 29-2-002517 JZA-7-000490 H-875 H-877 K-884 M-886 H-887 H-888 K-890 H-891 H-893 H-895 H-896 K-898 M-904 H-905 11-911 H-912 H-915 H-916 K-919 H-919 H-930 H-934 H-93~ H-936 K-938 H-939 H-940 H-941 H-942 K-9H K-952 H-955 012 228 013 233 014 1W7 6945 6948 235 015 024583 016 173301 237 27246 27243 121 024758

2116 5

15313 242 7084 26042 017 024933 15014 12728 18588 76828 8561 077 02H10 02-01-91 6,930.00 6,300.00 01-23-91 2,500.00 2,272.73 02-05-91 5,763.45 5,239.50 02-05-91 1,250.00 1,136.36 02-07-91 7,218.75 6,562.50 02-08-91 232.00 210.91 01-25-91 17,256.00 15,687.27 01-26-91 16,514.00 15,012.73 02-08-91 2,500.00 2,272.73 02-09-91 5,197.50 4,725.00 02-09-91 2,076.36 1,887.60 02-12-91 3,465.00 3,150.00 02-14-91 2,974.80 2,704.36 02-14-91 1,500.00 1,363.64 02-12-91 37,500.00 34,090.91 02-12-91 31,000.00 28,181.82 02-16-91 1,962.50 1,784.09 02-16-91 2,109.02 1,917.29 02-28-91 7,900.00 7,181.82 02-16-91 12,850.00 11,681.82 02-22-91 1,250.00 1,136.36 02-22-91 1,632.00 1,483.64 02-22-91 252.00 229.09 02-23-91 4,019.40 3,654.00 02-23-91 3,866.55 3,515.05 02-21-91 3,043.50 2,766.82 02-22-91 360.00 327.27 02-22-91 8,282.00 7,529.09 02-22-91 1,200.00 1,090.91 02-22-91 4,352.00 1,956.36 02-26-91 12,000.00 10,909.09

02-0H I _

___;9:..:..59.;..;.'..:..:;.65 87 I. 50 1,621,614.97 1,474,195.36 "It must be stressed at this point that a refund [or tax credit] of taxes partakes the nature of a tax exemption and are construed in strictissimi juris against the taxpayer and of the taxing authority."

(Associated Sugar, CIR, CTA Case No. 2944, May 1380 630.00 221.27 523.95 ..

113 '64 656.25 21.09 1,568.73 1,501.27 227.27 472.50 188.76 315.00 270.44 136.36 3,409.09 2,818.18 178.4t 191.73 718.18 1,168.18 ll3.6~ 148.36 22.91 365.4il 3 51. 50 276.68 32.73 752.91 109.09 195.64 1,090.91Q 81.15 147,419.61 ·• '

- 15 - 6, 1994, p.4 citing Insular Lumber Co.

vs. CTA, supra, and CIR vs. Rio Tuba Nickel Mining Corp., 207 SCRA 549)

WHEREFORE, in view of the foregoing, this Court hereby orders the issuance of a tax credit certificate in the amount of Pl47,419.61 in favor of the petitioner.