Manulife Data Services, Inc. vs. Commissioner of Internal Revenue

DECISION

RINGPIS-LIBAN, J:

The Case The case involves the Petition for Revicw¹ filed by Manulifc Data Services, Inc. to seck the refund or issuance of tax credit certificate in the amount of SixtY 0Iillion Four Hunc.lred Eighty Thousand Nine Hundred N ineteen Pesos anc.l Eighteen Centavos (Php60,480,919.18), allegedly representing its excess and unutilizccl input value-added tax ("VAT") for the four quarters of calendar year ("CY") 2013.

The Parties Petitioner i\fanulife Data Services, Inc. ts a Regional Operating 1-lea.clquarters (RO I IQ) duly licensccl by the Securities anc.l Exchange Commission ("SEC") under SEC Certificate of Registration and License o.

l•'S2006035052, issued on i\ larch 3, 2006. Tt is also registered with the Bureau of Internal Revenue ("BIR") as a VAT entity under Certificate of Registration No. l k ~ Doc et, Vol. 1, pp. 10 to 21.

OCN3RC00004216263 issued by the BIR Revenue District Office ("RDO") No. 38 on March 9, 2006. Petitioner is licensed "to engage in general administration and planning; business planning and coordination; sourcing/procurement of raw materials and components; corporate finance advisory services; marketing control and sales promotion; training and personnel management; logistic services; research and development services and product development; technical support and maintenance; data processing and communication and business development. "4 On the other hand, respondent is the duly appointed Commissioner of the Bureau of Internal Revenue who has the power to decide on disputed assessments, refunds of internal revenue taxes, fees or other charges, penalties imposed in relation thereto or other matters arising under the National Internal Revenue Code ("NIRC') of 1997, as amended, or other laws or portions thereof administered by the BIR. He holds office at the BIR National Office Building, ;\gham Road, Diliman, Quezon City. The Facts The case concerns petitioner's claim for refund or tax credit of its purported excess and unutilized input VAT for the four taxable quarters of calendar year 2013. 5 Petitioner alleges that in CY 2013, it generated VAT zero-rated sales for its services to foreign clients6 and it was paid in US Dollars (USD) inwardly remitted into the Philippines 7 It claims that the VAT zero-rated sales for CY 2013 amounted to a total of Php², 152,529,797.478, broken down as follows: 9 3 4 5 6 7 8 9 Taxable Period (CY 2013)

On March 30, 2015, petitioner flled with the BIR RDO No. 38 an administrative claim for refund or issuance of tax credit certificate of its alleged excess input VAT amounting to Php60,480,919.18 for the whole period of C:Y 2013_10 After the lapse of the 120-day period from the filing of the application for refund with no action from respondent and to preserve its claim for refund, petitioner filed the instant petition before this Court on August 26, 2015-' 1 In his i\nswer12 filed on October 26, 2015, respondent raised the following counter-arguments and defenses: "4. Petitioner's claim for the issuance of tax credit certificate is subject to administrative investigation/ examination by respondent's Bureau.

5. Taxes paid and collected are presumed to have been paid in accordance with law and regulations, hence, not refundable.

6. Moreover, in order to validly claim for tax credit/ refund, It 1s imperative for petitioner to prove its compliance with the following, viz:

a. The registration requirements of a value-added taxpayer under the pertinent provision of the National Internal Revenue Code (NIRC) of 1997, as amended, and its implementing revenue regulations.

b. The invoicing and accounting requirements for VAT -registered persons, as well as the filing and payment of VAT pursuant to the provisions of Sections 113 and 114 of the 1997 NIRC, as amended. Failure to comply with the invoicing requirements on the documents supporting the sale of goods and services will result in the disallowance of the claim for input tax of the taxpayer claimant (Revenue Memorandum Circular No. 42-2003). /¥'

c. The submission of complete documents in support of the administrative claim for tax refund pursuant to Section 112 (C) of the NIRC of 1997, as amended, otherwise, there would be no sufficient compliance with regard to the filing of administrative claim for tax credit/ refund which is a condition sine qua non prior to the filing of such claim (Revenue Memorandum Circular No. 54-2014).

d. That the input taxes of P60,480,919.18 allegedly representing unutilized input VAT from its domestic purchases of goods and services were: 1.

paid by petitioner;

11.

attributable to its zero-rated or effectively zero-rated sales; and, 111.

such input taxes paid should not have been applied against any output tax.

e. That petitioner's claim for tax credit/ refund allegedly representing unutilized input VAT in the amount of P60,480,919.18 was filed within two (2) years after the close of the taxable quarter when the sales were made in accordance with Section 112 (A) of the NIRC of 1997, as amended. 7.

In an action for tax credit/refund, the burden of proof rests upon the taxpayer to establish by sufficient and competent evidence its entidement to a claim for tax credit/ refund. 8.

It is worth emphasizing at this point that the burden of proving entidement to a tax refund is on the taxpayer. It is logical to assume that in order to discharge this burden, the law intends the filing of an application for a refund to necessarily include the filing of complete supporting documents to prove entidement for the refund. Otherwise, the mere filing of an application without any supporting document would be as good as filing a mere scrap of paper. Besides, the taxpayer was already giVen two (2) years to determine its refundable taxes and complete the documents necessary to prove its claim. The alleged completion of supporting documents after the filing of an application for an administrative claim - and worse, after the filing of a judicial claim- is tantamount to legal maneuvering, which this Court will not tolerate (Hedwr, Im: vs. Commissionerojlnterna!Revenue, G.R No. 207575,ju!J 15, 2015). ~

9. Finally, it is a well-established rule that tax refunds, which are in the nature of tax exemptions, are construed strictly against the taxpayer and liberally in favor of the government. This is because taxes are the lifeblood of the nation. Thus, the burden of proof is upon the claimant of the tax refund to prove the factual basis of his claim (Eastern Telecommunications Philippines, Inc. vs. The Commissioner of Internal Revenue, GR No. 168856, August 29, 2012)." A Notice of Pre-Trial Conference13 was issued by the Court, setting the case for pre-trial conference on February 2, 2016, which was cancelled and reset to March 29,201614• Hence, respondent's Pre-Trial Brief15 was filed on January 18, 2016, while petitioner's Pre-Trial Brief' 6 was filed through registered mail on March 3, 2016 and received by the Court on March 9, 2016. The pre-trial conference ensued.17 Thereafter, the parties submitted their Joint Stipulation of Facts and Issue18 on AprilS, 2016. Consequently, the Court issued a Pre-Trial Order19 on May 6, 2016 and the pre-trial was deemed terminated.

Upon petitioner's motion,20 Mr. Jerome Antonio B. Constantino was commissioned by the Court on July 5, 2016 as an Independent Certified Public 1\ccountant (ICPA) and to render a report on this case 21 On August 4, 2016, the ICPA issued a report22 During the trial, petitioner presented the testimomes of the following witnesses by way of Judicial Affidavits in lieu of direct examination: 23 Ms. Agnes Neria2\ Ms. Lourdes Rosario Mantarin!f5, and ICPA Jerome Antonio B. C:onstantino26 .

~ 13 Docket, Vol. 1, pp. 188-189. 14 Resolution dated January 20, 2016, Docket, Vol. 1, p. 211. 15 Docket, Vol. 1, pp. 206-209. 16 Docket, Vol. 3, pp. 1175-1197. 17 Minutes of the Hearing, March 29, 2016, Docket, Vol. 3, p. 1200. 18 Docket, Vol. 3, pp. 1206-1218. 19 Docket, Vol. 3, pp. 1240-1251. 20 Docket, Vol. 3, pp. 1155-1157. 21 Minutes of the Hearing, July 5, 2016, Docket, Vol. 3, p. 1273. 22 Exhibit "P-111", !CPA Report Part 1 and 2, Docket, Vol. 3, pp. 1286-1675. 23 Minutes of the Hearing, August 16, 2016, presentation of petitioner's witnesses, Ms. Neria and Ms. Mantaring, Docket, Vol. 4, p. 1683; Minutes of the Hearing, September 19, 2016, presentation of petitioner's witness, !CPA Constantino, Docket, Vol. 4, p. 1702 24 Exhibit "P-110", Judicial Affidavit of Ms. Agnes Neria dated March 02, 2016, Docket, Vol. 2, pp. 832-858.

CTA CASE NO, 9126

A supplemental ICPA report*’ was later on filed by petitioner on December 22, 2016 pursuant to its motion® dated September 28, 2016, which was granted by the Court via Resolution” dated November 25, 2016, Petitioner filed its Formal Offer of Evidence*®’ and Supplemental Formal Offer of E-vidence*' on September 28, 2016 and on April 10, 2017, respectively. ‘he same were resolved by the Court on December 5, 2017”, admitting Exhibits “P-1” to “P-1-d”’, “P-2-a”, “P-3”, “P-3-a”, “P-3-b”, “P-4’’, “P-6”, “P-6-a’’, “P-6- b”, “P-6-c”, “P-8-c”, “P-9”, “P-11”, “P-13”, “P-13-a”, “P-13-b”, “P-14”, “P-14- a’, “P-14-b”, “P-15”’, “P-15-a”, “P-15-b”, “P-16”,, ““P-16-a”, “P-16-b”, “P-17”, “P-20”, “P-21”, “P-22”, “P-23”, “P-24”, “P-25”, “P-26”, “P-27”, “P-28”, “P- 29”, “P-30”, “P-31”,, “P-32”,, “P33”, “P-34”, “P-34-a”, “P-35”, “P-36”, “P-37”, “P_37-2”, “P-38”, “P-39”, “P-40”, “P-41”, “P-42”, “P43”, “P-44” to “P-44-h”, “P_44-i” to ““P-44-I, “P-44-m” to “P-44-P”, “P-46”,, “P-50” to “P-50-1”, “P-52”, “P-55”, “P-56” to “P-56-g”, “P-59” to “P-59-g”, “P-62” to “P-62-2”, “P-64”, “P-65” to “P- 65-g”, “P-65-h” to “P-65-]”, “P-67”, “P-68” to “P-68-c”, “P-68- d” to “P-68-h”, “P-104”, “P-105”, “P-106”, “P-107”, “P-108” to “P 108-b”, “P- 109” and “P-109-a”, “P-110” and “P-110-a”, “P-111” and “P-111-a’, “P-112” and “P-112-a”, “P-113-1” to “P-113-2065”, “P-114-1” through “P-114-31”, “P- 115-1” through “P-115-684”, “P-116-1” to “P-116-79”, “P-117”, “P-118-1” to “P-118-3”, “P-119-1” to “P-119-23”, “P-120”, “P-121-1” through “P-121-4’, “P-122-1, “P-122-2”, “P-122-3”, “P-122-4”, “P-123”, “P-124”, “P-125”, “P- 126”, “P-127”, “P-45”, “P-48”, “P-51”, “P-54”, “P-57”, “P-60”, “P-63”, “P-69”’, “P-71” to “P-71-P’, “P-71-¢” to “P-71-k”, “P-72”, “P-74” to “P-74-f’, “P-75”, “P-76”, “P-78”, “P-81”, “P-84”, “P-86” to “P-86-f’, “P-87”, “P-89” to “P-89- e”, “P-90”, “P-93”, “P-95” to “P-95-P’, “P-96”, “P-99”, “P-101” to “P-101-2”, “P-102”, “P-109-b”, “P-109-c”, “P-111-1”, “P-111-1-a”, “P-112-b”, “P-112-c”, “P128”, and “P-129”. On the other hand, the Court denied the admission of Exhibits “P-2”, “P-5”, “P-5-a”, “P-5-b”’, “P-7”, “P-7-a”’, “P-7-b”, “P-8”, “P-8- a”, “P-8-b”, “P-10”,, “P-12”, “P-18”, “P-19’, “P-19-a”, “P-19-b”, “P-19-c’”’, “P- 34-b”, “P-47” to “P-47-2”, “P-47-h” to “P-47-h-u1”, “P-53” to “P-53-g”, “P-53- h” to “P-53-1”, “P-80” to “P-80-d”, “P-83” to “P-83-f”, ““P-83-g” to “P-83-k”, and “P-98” to “P-98-h”, for failure to present the originals for comparison and Exhibit “P-58”, for not being found in the records of the case and failure to identify. Vag 27 Exhibit “P-111-1", Docket, Vol. 6, pp. 2519-2525, 28 Motion a) To recall witnesses and b) To file Supplemental Independent CPA Report, filed on September 28, 2016, Docket, Vol. 4, pp. 1709-1716.

*9 Docket, Vol. 6, pp. 2514-2518.

On January 11, 2018, petitioner filed a Motion for Reconsideration (Re: Resolution dated 05 December 2017) with Motion to Recall Witness33, praying that the Court reconsider the denied exhibits and allow it to recall its witness, Ms. Lourdes Mantaring, to submit her supplemental sworn statement. The Court, however, denied petitioner's motion on the basis that non-presentation of the original copies of the documents for comparison and verification violates Section 3 of Rule 13034 of the Rules of Court.35 During the hearing on April 3, 2018, respondent's counsel manifested that he has no evidence to present. 36 The Court declared the case deemed submitted for decision on July 9, 2018,37 considering petitioner's Memorandum38 filed on April 24, 2018 and respondent's failure to ftle a Memorandum as per Records Verification Report10 dated July 3, 2018.

The Issue As stipulated by the parties, the sole issue40 for the Court's resolution is: Whether petitioner is entitled to the refund/issuance of a tax credit certificate for its excess and unutilized input VAT for the whole period of CY 2013 in the amount of Sixty Million Four Hundred Eighty Thousand Nine Hundred Nineteen Pesos and Eighteen Centavos (Php60,480,919.18t' /Y' 33 Docket, Vol. 7, pp. 3132-3135 34 Section 3. Original document must be produced; exceptions. -When the subject of inquiry is the contents of a document, no evidence shall be admissible other than the original document itself, except in the following cases:

(a) When the original has been lost or destroyed, or cannot be produced in court, without bad faith on the part of the offeror;

(b) When the original is in the custody or under the control of the party against whom the evidence is offered, and the latter fails to produce it after reasonable notice;

(c) When the original consists of numerous accounts or other documents which cannot be examined in court without great loss of time and the fact sought to be established from them is only the general result of the whole; and

(d) When the original is a public record in the custody of a public officer or is recorded in a public office.

Discussion/Ruling Administrative and judicial claims were filed within the period prescribed by law. The Court shall determine first whether it has jurisdiction over the Petition for Review in relation to the claim for refund ftled by petitioner with the RIR.

Jurisdiction over the subject matter or nature of an action is fundamental for a court to act on a given controversy. It is conferred only by law and not by the consent or waiver upon a court which, otherwise, would have no jurisdiction over the subject matter of an action. Lack of jurisdiction of the court over an action or the subject matter of an action cannot be cured by the silence, acquiescence, or even by express consent of the parties. If the court has no jurisdiction over the nature of an action, its only jurisdiction is to dismiss the case. The court could not decide the case on the merits 42 Section 7(a)(1) and (2) of Republic Act ("RA") No. 1125, as amended by RA Nos. 9282 and 9503, provides that the Court of Tax Appeals ("CTA") has exclusive appellate jurisdiction to review by appeal the decisions or inaction by the BIR Commissioner on claims for refund, viz.: "SEC. 7. ]ttrisdiction.- The CfA shall exercise: (a) Exclusive appellate jurisdiction to review by appeal, as herein provided:

(1) Decisions of the Commissioner of Internal Revenue in cases involving disputed assessments, refunds of internal revenue taxes, fees or other charges, penalties in relation thereto, or other matters arising under the National Internal Revenue Code or other laws administered by the Bureau of Internal Revenue; (2) Inaction by the Commissioner of Internal Revenue in cases involving disputed assessments, refunds of internal revenue taxes, fees or other charges, penalties in relations thereto, or other matters arising under the National Internal Revenue Code or other laws administered by the Bureau of Internal Revenue, where the National Internal Revenue Code provides a specific/""

period of action, in which case the inaction shall be deemed a denial;" (Emphasis supplied) In relation thereto, Section 112(A) and (C) of the NIRC of 1997, as amended, provides for the period when to ftl.e an administrative claim for refund with the BIR and a judicial claim with the CTA, to wit: "SEC. 112. Refunds or Tax Credits of Input Tax.- (A) Zero-Rated or Effectively Zero-Rated Sales. -Any VAT- registered person, whose sales are zero-rated or effectively zero-rated may, within two (2) years after the close of the taxable quarter when the sales were made, apply for the issuance of a tax credit certificate or refund of creditable input tax due or paid attributable to such sales, except transitional input tax, to the extent that such input tax has not been applied against output tax: Provided, however, That in the case of zero-rated sales under Section 106(A)(2)(a)(1), (2) and (b) and Section 108 (B)(1) and (2), the acceptable foreign currency exchange proceeds thereof had been duly accounted for in accordance with the rules and regulations of the Bangko Sentral ng Pilipinas (BSP): Provided, further, That where the taxpayer is engaged in zero-rated or effectively zero-rated sale and also in taxable or exempt sale of goods of properties or services, and the amount of creditable input tax due or paid cannot be directly and entirely attributed to any one of the transactions, it shall be allocated proportionately on the basis of the volume of sales: Provided, finally, That for a person making sales that are zero-rated under Section 108 (B)(6), the input taxes shall be allocated ratably between his zero-rated and non-zero-rated sales.

XXX XXX XXX (C) Period within which Refund or Tax Credit of Input Taxes shall be Made. - In proper cases, the Commissioner shall grant a refund or issue the tax credit certificate for creditable input taxes within one hundred twenty (120) days from the date of submission of complete documents in support of the application ftl.ed in accordance with Subsection (A) hereof. In case of full or partial denial of the claim for tax refund or tax credit, or the failure on the part of the Commissioner to act on the application within the period prescribed above, the ~ taxpayer affected may, within thirty (30) days from the receipt of the decision denying the claim or after the expiration of the one hundred twenty day-period, appeal the decision or the unacted claim with the Court of Tax Appeals." (Emphasis supplied) Based on the foregoing provision, a VAT-registered taxpayer whose sale is zero-rated or effectively zero-rated may, within two (2) years after the close of the taxable quarter when the sales were made, apply for a refund or the issuance of tax credit certificate of its creditable input tax due or paid attributable to such sales.

The provision further states that upon filing of the administrative claim for refund, the BIR has one hundred twenty (120) days from the date of submission of the complete supporting documents in support of the application to either grant or deny the claim. However, should the BIR deny fully or partially the claim, the taxpayer has thirty (30) days from the receipt of the decision denying the claim or in case of inaction by the BIR, from the expiration of the 120 days, to file an appeal with the Court. ln the case of Commissioner of Internal Revenue vs. Mindanao II Geothermal Partnership40, the Supreme Court summarized the rules on the 120 + 30-day periods for claiming refund or credit of input VAT: "SUMMARY OF RULES ON PRESCRIPTIVE PERIODS

FOR CLAIMING REFUND OR CREDIT OF INPUT VAT

The lessons of this case may be summed up as follows: XXX XXX XXX B. 120+30 Day Period

1. The taxpayer can file an appeal in one of two ways: (1) file the judicial claim within thirty days after the Commissioner denies the claim within the 120-day period, or (2) file the JUdicial claim within thirty days from the expiration of the 120-day period if the Commissioner does not act within the 120-day period. /"¥"

2. The 30-day period always applies. whether there is a denial or inaction on the part of the CIR.

3. As a general rule, the 30-day period to appeal is both mandatory and jurisdictional. (Aichi and San Roque)

4. As an exception to the general rule, premature filing is allowed only if filed between 10 December 2003 and 5 October 2010, when BIR Ruling No. DA-489-03 was still in force. (San Roque)

5. Late filing is absolutely prohibited, even during the time when BIR Ruling No. DA-489-03 was in force. (San Roque)" Likewise, in Rohm Apollo Semiconductor Phils. vs. Commissioner of Internal Revenue44, the Supreme Court emphasized: "A final note, the taxpayers are reminded that when the 120- day period lapses and there is inaction on the part of the CIR, they must no longer wait for it to come up with a decision thereafter. The CIR's inaction is the decision itself. It is already a denial of the refund claim. Thus, the taxpayer must flle an appeal within 30 days from the lapse of the 120-day waiting period." Pursuant to the afore-quoted provisions and Supreme Court rulings, it is undisputable that in order for the Court to acquire jurisdiction over an appeal on claims for refund, compliance with the 120-day and 30-day periods is mandatory. In the instant case, the subject claim covers the four quarters of CY 2013, which ended on the following dates: Taxable Period Close of Taxable

(CY 2013)

Quarter 1st Quarter March 31, 2013 2nd Quarter Tunc 30, 2013 3rd Quarter September 30, 2013 4th Quarter December 31,2013 Counting two years from the close of the taxable quarters, petitioner had until the following dates to ftle its administrative claim for refund or tax credit of unutilized input VAT attributable to its zero-rated sales: r/

Taxable Quarter

(CY 2013)

1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Close ofTaxable End of2-Year Quarter Prescriptive Period March 31, 2013 March 31, 2015 june 30, 2013 june 30, 2015 September 30, 2013 September 30, 2015 December 31, 2013 December 31, 2015 Since the administrative claim for the four quarters of CY 2013, together with the supporting documents, was filed by petitioner on March 30, 2015, the Court finds such claim timely filed. 45 Anent the timeliness of petitioner's judicial appeal, counting from March 30, 2015, the 120-day period prescribed for respondent to act on the claim expired on July 28, 2015. As the 120-day period lapsed with petitioner not receiving any decision from respondent, it had 30 days from July 28, 2015, or until August 27, 2015, to appeal such inaction to the Court. Since the Petition for Review was filed on August 26, 2015, such appeal was also timely filed. The Court will now determine whether petitioner is entitled to its claim for refund or issuance of tax credit certificate. Section 112(A) of the NIRC of 1997, as amended, provides: "SEC. 112. Refunds or Tax Credits of Input Tax.- (A) Zero-Rated or Effectively Zero-Rated Sales. - 1\ny VAT- registered person, whose sales are zero-rated or effectively ?-era- rated may, within two (2) years after the close of the taxable quarter when the sales were made, apply for the issuance of a tax credit certificate or refund of creditable input tax due or paid attributable to such sales, except transitional input tax, to the extent that such input tax has not been applied against output tax: Provided, however, That in the case of zero-rated sales under Section 106(A)(2)(a)(1),

(2) and (b) and Section 108 (B)(1) and (2), the acceptable foreign currency exchange proceeds thereof had been duly accounted for in accordance with the rules and regulations of the Bangko Sentral ng Pilipinas (BSP): Provided, further, That where the taxpayer is engaged in zero-rated or effectively zero-rated sale and also in taxable or exempt sale of goods of properties or services, and the amount of creditable input tax due or paid cannot be directly and ~

entirely attributed to any one of the transactlons, it shall be allocated proportionately on the basis of the volume of sales: Provided, finally, That for a person making sales that are zero-rated under Section 108 (B)(6), the input taxes shall be allocated ratably between his zero-rated and non-zero-rated sales." From the afore-quoted provision, in order to be entitled to a refund or tax credit of excess input VAT attributable to zero-rated or effectively zero-rated sales, the following requisites must be satisfied:

1. that the claim for refund was filed within the prescriptive period;

2. that the taxpayer is VAT-registered;

3. that there must be zero-rated or effectively zero-rated sales;

4. that input taxes were incurred or paid;

5. that such input taxes are attributable to zero-rated or effectively zero-rated sales; and

6. that the input taxes were not applied against any output VAT liability.

For the first requisite, it has already been established that petitioner has filed its administrative claim and judicial appeal within the period prescribed by law.

Petitioner Is a VAT- registered entity.

Petitioner also satisfied the second requisite considering that it is a VAT- registered taxpayer with Taxpayer Identification No. 244-027-271-000, as evidenced by its Certificate of Registration No. OCN3RC0000421626.46 Petitioner had effectively zero-rated sales.

Petitioner posits that its sales of services which were rendered to foreign corporations/ affiliates engaged in business outside of the Philippines and paid for in acceptable foreign currency and duly accounted for in accordance with the rules and regulations of the Bangko Sentra! ng Pi!ipinas ("BSP") are subject to zero- percent (0%) VAT pursuant to Section 108(B)(2) of the NIRC of 1997, as amended, which states: ~

"SEC. 108. Value-added Tax on Sale of Services and Use or Lease of Properties. - XXX XXX XXX (B) Transactions Subject to Zero Percent (0%) Rate. - The following services performed in the Philippines by VAT-registered persons shall be subject to zero percent (0%) rate:

(1) Processing, manufacturing or repacking goods for other persons doing business outside the Philippines which goods are subsequently exported, where the services are paid for in acceptable foreign currency and accounted for in accordance with the rules and regulations of the Bangko Sentral ng Pilipinas (BSP);

(2) Services other than those mentioned in the preceding paragraph rendered to a person engaged in business conducted outside the Philippines or to a nonresident person not engaged in business who is outside the Philippines when the services are performed, the consideration for which is paid for in acceptable foreign currency and accounted for in accordance with the rules and regulations of the Bangko Sentral ng Pilipinas (BSP);" In the case of Commissioner of Internal Revenue vs. Burmeister and Wain Scandinavian Contractor Mindanao, Inc. 47, the Supreme Court held that in order for the supply of services to be VAT zero-rated under Section 108(B)(2) of the NIRC of 1997, as amended, the following requisites must be met:

1. the services must be other than processing, manufacturing or repacking of goods;

2. the recipient of such services is doing business outside the Philippines; and

3. the payment for such services must be in acceptable foreign currency accounted for in accordance with the BSP rules and regulations.

Petitioner is a multinational company organized and existing under the laws of Barbados and has established an ROHQ in the Philippines, under SEC Certificate of Registration and License No. FS200603505, "to engage in general administration and planning;

business planning and coordination;

sourcing/procurement of raw materials and components; corporate finance ~

advisory services; marketing control and sales promotion; training and personnel management; logistic services; research and development services and product development; technical support and maintenance; data processing and communication and business development."48 These services clearly fall within the scope of "services other than processing, manufacturing or repacking of goods" contempL'lted by the afore-mentioned provision. Petitioner avers that for CY 2013, it generated both VAT zero-rated and taxable sales.

These alleged zero-rated sales of services were made to the following non-resident foreign corporations/ affiliatesA9 1.

The Manufacturer's Life Insurance Company 2.

John Hancock Life Insurance Company (USA) 3.

Manulife Insurance Berhad 4.

Manulife Asset Management (Hong Kong) Limited 5.

Manulife Financial Asia Limited 6.

Manulife (Singapore) Pte Ltd. 7.

Manulife Asset Management (Malaysia) Sdn. Bhd. 8.

Manulife Asset Management (Singapore) Pte. Ltd. 9.

Manulife Asset Management Limited 10.

Manulife (International) Limited

11. Manulife Asset Management (Vietnam) Company Limited 12.

Manulife-Sinochem Life Insurance Company I -imited 13.

Manulife Japan 14.

Manulife Technology & Services Sdn. Bhd. 15.

Pt. Asuransi Jiwa Manulife Indonesia 16.

Manulife (Vietnam) Limited 17.

Manulife Bank & Trust 18.

Manulife Information & Technologies Service (Chengdu) 19.

Pt. Manulife Aset Manajemen Indonesia In compliance with the second reqws!te of proving that the above- enumerated entities arc non-resident foreign corporations doing business outside the Philippines, petitioner submitted several documents such as Certifications of Non-Registration of Company issued by the Securities and Exchange Commission, Articles/ Certificates of Incorporation/Registration, Service Agreements and/or other related documents, detailed as folio/

ITA CASE NO. 9126

Client The Manufacturer's Life Insurance Company John Hancock Life Insurance Company (USA) Manulife Insurance Bcrhad i\!anulife Asset Management (Hong Kong) Limited Manulife financial Asia I -imited Manulife (Singapore) Pte Ltd. Manulife 1\sset Management (Malaysia.)_ Sdn. Bhd. Manulifc Asset Management (Singapore) Pte. Ltd. Manulifc Asset Management Limited Manulifc (International) Limited Manulife Asset Management (Vietnam) Company Limited ,\fanulifc-Sinochem Life Insurance Company Limited Manulife Japan Manulife Technology & Services Sdn. Bhd. Pt. Asuransi Jiwa Manulife Indonesia Manulife (Vietnam) Limited :\!anulifc Bank & Trust :\!anulifc Information & Technologies Service (Chcngdu) Pt. Manulife Aset Manajemen Indonesia SEC Certification of Non- Registration none P-45 P-60 P-54 P-84 P-63 P-48 P-57 P-78 P-51 P-75 P-96 P-90 P-93 P-99 P-72 P-81 P-87 P-102 Articles of Service Incorporation/ Agreement/ Certificate of other Registration documents P-65 to P-65-J;

P-67 P-104; P-124;

P-126; P-127 P-46 P-44 to P-44-p none P-59 to P-59-g P-55 none none none P-64 P-62 to P-62-g none none none P-56 to P-56-g none none P-52 P-50 to P-50-i P-76 P-74 none P-95 none P-H9 none none none none none P-71 none none none P-86 none P-101 This Court has consistently held that in order to be considered as a non- resident foreign corporation doing business outside the Philippines, each entity must be supported, at the very least, by both a Certificate of Non-registration of Corporation/Partnership issued by the Philippine SEC and a Certificate/ Articles of Foreign Incorporation/ Association. 5° Parenthetically, it must be emphasized that notwithstanding the presentation of the said documents, there must not be any indication that the recipient of the services is doing business in the Philippines. The said basic documents arc necessary because the Philippine SEC's negative certification establishes that the recipient of the service has no registered business in the Philippines;

while the said certificate/ articles of incorporation/ association will prove that the said recipient of the service is indeed a non-resident foreign entity. Furthermore, the former document will tend to satisfy the requirement that the service-recipient is not engaged in trade or business within the Philippines; while the latter document will indicate whether the same service-recipient is engaged in business at all (i.e., a showing of _.A/ 50 Deutsche Knowledge Services, Pte. Ltd. vs. Commissioner of Internal Revenue, ITA EB No. 1290 (ITA Case No. 7808), August 16, 2016 I.

2.

3.

4.

5.

a continuity of conduct and intention to establish a continuous business). In this connection, it must be remembered that the afore-quoted Section 108(B)(2) of the NIRC of 1997, as amended by RA No. 9337, requires, inter alia, that the service-recipient is "a person engaged in business conducted outside the Philippines", for the transaction to be treated as subject to the 0% VAT rate 51 Accordingly, the Court finds that only the following clients satisfy the above requisites and thus, prove that these are non-resident corporations doing business outside the Philippines: Articles of Incorporation/ SEC Certificate of Certificate of Non-Registration Registration (Exhibit No./2 (Exhibit No.)

John Hancock Life Insurance Company (USA) P-45 P-4655 Manulife Asset Management (Hong Kong) Limited 1'-54

P-55 54

Manulifc (Singapore) Pte Ltd. P-63 1'-6451 Manulifc (International) Limited P-51 P-525(' Manulifc Asset Management (Vietnam) Company P-75 P-7657 Limited As to the third requisite, Sections 113(A)(2), (B)(1), (2)(c) and (³) of the NIRC of 1997, as amended, as implemented by Sections 4.113-1(A)(2), (B)(1) and (2)(c) of Revenue Regulations ("RR") No. 16-05, provide that a VAT taxpayer, like herein petitioner, shall for every lease of goods or properties and for every sale, barter or exchange of services issue a VAT official receipt which must contain the following information: "SEC. 113. Invoicing and Accounting Requirements for VAT- Registered Persons. - (A) Invoicing Requirements. - A VAT-registered person shall tssue:

XXX XXX XXX 51 Deutsche Knowledge Setvices, Pte Ltd. vs. Commissioner of Internal Revenue, CTA EB Nos. 1374 and 1383 (CTA Case No. 8003), December 15, 2017 52 Docket, Vol. 6, pp. 2859, 2861, 2862, 2865, and 2905 53 Docket, Vol. 5, pp. 2057 to 2106. 54 Docket, Vol. 5, pp. 2278 to 2365. 55 Docket, Vol. 5, pp. 2484 to 2431. 56 Docket, Vol. 5, pp. 2174 to 2241. 57 Docket, Vol. 6, pp. 2906 to 2925. I

(2) A VAT official receipt for every lease of goods or properties, and for every sale, barter or exchange of services. (B) Information Contained in the VAT Invoice or VAT Official Receipt. -The following information shall be indicated in the VAT invoice or VAT official receipt: (1) A statement that the seller is a VAT-registered person, followed by his Taxpayer's Identification Number (TIN);

(2) The total amount which the purchaser pays or 1s obligated to pay to the seller with the indication that such amount includes the value-added tax: Provided, That: XXX XXX XXX

(c) If the sale is subject to zero percent (0%) value-added tax, the term 'zero-rated sale' shall be written or printed prominently on the invoice or receipt; XXX XXX XXX

(3) The date of transaction, quantity, unit cost and description of the goods or properties or nature of the service; and" (Emphasis supplied) "SECTION 4.113-1. Invoicing Requirements. - (A) A VAT-registered person shall issue:- XXX XXX XXX

(2) A VAT official receipt for every lease of goods or properties, and for every sale, barter or exchange of services. Only VAT-registered persons arc rcguired to print their TIN followed by the word 'VAT' in their invoice or official receipts. Said documents shall be considered as a 'VAT Invoice' or VAT official receipt. All purchases covered by invoices/receipts ,A/ other than VAT lnvoice/V AT Official Receipt shall not give rise to any input tax.

VAT invoice/official receipt shall be prepared at least in duplicate, the original to be given to the buyer and the duplicate to be retained by the seller as part of his accounting records. (B) Information contained in VAT invoice or VAT official receipt. - The following information shall be indicated in VAT invoice or VAT official receipt:

(1) A statement that the seller is a VAT-registered person, followed by his TIN;

(2) The total amount which the purchaser pays or is obligated to pay to the seller with the indication that such amount includes the VAT; Provided, That: XXX XXX XXX

(c) If the sale is subject to zero percent (0%) VAT, the term 'zero-rated sale' shall be written or printed prominently on the invoice or receipt;" (Emphasis supplied) Pursuant to the foregoing provisions, the foreign currency remittances referred to under Section 108(B)(2) of the NIRC of 1997, as amended, must likewise be supported by VAT zero-rated official receipts. Tn its Quarterly VAT Returns for CY 2013,58 petitioner reported total sales of Php2,175,091 ,587.87 which consisted of zero-rated sales of Php2,152,529,797.47 and VATable sales ofPhp22,561,790.40, broken down as follows:

Quarter Zero-Rated Sales VATable Sales Total 1st Php 479,724,554.50 Php 397,595.48 Php 480,122,149.98 2nd 513,130,554.25 5,087,332.10 518,217,886.35 3rd 561,305,225.32 5,939,835.61 567,245,060.93 4th 598,369,463.40 11,137,027.21 609,506,490.61 Total Php2,152,529, 797.47 Php22,561,790.40 Php2,175,091,587 .87

To prove that it rendered services to its non-resident foreign client- affiliates and was paid in US dollars duly accounted for in accordance with the rules and regulations of the BSP for the four quarters of CY 2013, petitioner presented its Summary of Zero-rated Sales/Receipts for CY 201359 and the related zero-rated official receipts (OR) 60, Monthly Schedules of Zero-Rated Sales and Bank Credit Memo6\ Reconciliation of Zero-Rated Sales (Reconciliation) 62, Schedule of VA Table Sales and Bank Credit Memo for the year 201363, Summary of Bank Credit Memos64, and 2013 and 2014 Bank Statements65, which were examined by the Court-commissioned ICPA. As accounted by the ICPA, the total zero-rated sales for CY 2013 amounted to US$51 ,681,889.48 or Php2,201,829,955.45.66 However, petitioner's reported zero-rated sales in its 2013 Quarterly VAT Returns amounted only to Php2,152,529,797.47. The difference of Php49,300,157.98 was attributable to vanous billing adjustments as provided in the Reconciliation of Zero-Rated Sales 67 As found by the ICPA, out of the total accounted zero-rated sales for C:Y 2013 amounting to Php2,201,829,955.45, only the amount of Php776,913,568.13, which is equivalent to US$18,239,360.17, was earned from the following clients, which as determined earlier qualify as non-resident foreign entities doing business outside the Philippines: Client InUSD John Hancock Life Insurance Company (USA) $14,762,632.26 1\fanulifc Asset Management (Hong Kong) Limited 390,986.62 Manulife (Singapore) Pte Ltd. 210,772.24 Manulife (International) Limited 2,845,649.09 Manulifc Asset Management (Vietnam) Company Limited 29,319.96 Total $18,239,360.17 59 Exhibit "P-111", Annex 2, ICPA Report, Docket, Vol. 3, pp. 1326 to 1330. 60 Exhibits "P-113-1" to "P-113-2065", !CPA Report Supporting documents. 61 Exhibits "P-22" to "P-33", Docket, Vol. 4, pp. 1919 to 1954. 62 Exhibit "P-120", ICPA Report Supporting Documents. 63 Exhibit "P-20", Docket, Vol. 4, p. 1914. 64 Exhibit "P-21", Docket, Vol. 4, pp. 1915 to 1918 65 Exhibits "P-117" and "P-125", !CPA Report Supporting Documents. 66 Exhibit "P-111", Annex 2, ICPA Report, Docket, Vol. 3, pp. 1326 to 1330. 67 Exhibit "P-120", ICPA Report Supporting Documents. In Php Php628,711,549.04 16,886,794.58 9,041,343.22 121,062,329.⁴ 7 1,211,551.82 Php776,913,568.13

However, the above sales amounting to Php776,913,568.13 was overstated by the net amount of Php22,396,101.10 after cross-checking the same in the Reconciliation. This net overstatement is broken down as follows:

| Invoice No. | In USD In Ph ohn Hancock Life Insurance Compan

5113 20,212.99

a I ae Q1 22,598.19 erroneous take up - held in trust Q1 188,996.60

5778 6,423.02

6,711.81 1,638,749.30 50,534.54 272,887.60 306,636.68 (574,659.67) 577,447.18 835,847.56 934,480.35 7,815,387.40 265,604.72 288,330.53 erroneous take up - held in trust | Q2 20,586.08 884,350.91 erroneous take up ~ held in trust Q2 178,320.02 7,660,393.43 6,772.14 301,802.22 6,613.51 288,459.46 6,565.43 283,518.16 6,479.67 282,967.38 6,357.44 282,327.03 Subtotal $ 532,284.24 | Php 22,395,064.78 Manulife Asset Management (Hong Kong) Limited 5730 $ (20.90) | Php (864.26) 5730 20.90 909.84 Subtotal $ - Ph 45.58 Manulife (Singapore) Pte Ltd. 5275 $ 1,699.58 | Ph 69,125.40 5275 1,699.58) 70,281.03) 5414 2,039.49 83,060.70 5414 2,039.49 (84,336.99) 5595 3,399.16 139,883.53 3,399.16) | (140,562.06) 6878 100.31 4,380.54 Subtotal $ _ 100.31| Php 1,270.09 Manulife (International) Limited Php _ 223,570.36 5109 (5,491.78) (223,361.95) 5343 | 779.42 31,742.82 5343 | (779.42) (32,230.58) Subtotal | $ - (279.35) | Pau

ITA CASE NO. 9126

Invoice No.

Grand Total InUSD In Php $ 532,384.55 Php 22,396,101.10 These billing adjustments amounting to Php22,396, 101.10 were not reported by petitioner in its 2013 Quarterly VAT Returns. Deducting the same from the total accounted zero-rated sales from qualified clients of Php776,913,568.13, only the amount ofPhp754,517,467.03 was actually reported in the Quarterly VAT Returns for CY 2013. Thus, the Court will confine its examination based on the amount reported and disregard the related billing adjustments per Reconciliation. Prom the above sales, the ICPA found the following exceptions amounting to Php151,761,337.64 and shall thus be deducted from the total allowable zero-rated sales for CY 2013: !CPA Report Invoice OR OR Ex h.

Annex Client No.

No.

Date Reference Reference In USD In Php Zero-rated sales/ receipts su •ported by registered zero-rated ORs but date not indicated Manulifc .Asset f\..1anagement (Vietnam) Companv Limited 5398 0628 nil P-113-452 3-3 $ 18,000.00 Php 733,071.79 l'vfanulife Asset .i\hnagement (Vietnam) C<Hnpany Limited 5399 0629 nil P-113-453 3-3 943.33 38,418.2(, i\lanulifc Asset i\lanagcmcnt - (Vietnam) P-113- 41,892.26 I _c::c,mpany Limited 7037 2265 nil 1702 3-19 943.33 Subtotal $ 19,886.66 Php 813,382.31 !

Zero-rated sales/ receipts supported by registered zero-rated ORs but not dated within the period of claim I\[anulifc Asset l'vianagcment (Hong Kong) Limited 5729 0959 5/2/2014 P-113-830 3-9 $ 6,088.02 Php 251,751.80 ivlanulife Asset I "lv[anagement (Hong Kong) Limited 5565 0795 5/2/2014 P-113-834 3-9 6,111.64 251,508.54 John Han cock Life lnsurann· P-113- Company (USc\) 6690 1921 1/2/2014 1714 3-20 9,485.03 414,211.54 John I lancock J .ife Insurance P-113- Company (USA) 6724 1955 1/2/2014 1748 3-20 29,315.62 1,280,21.'\.98 John f fancock Life I Insurance P-113- ' Company (USA) 6728 1959 1/2/2014 1752 3-20 77.79 3,397 o'U | Client Manulife (International) Limited Invoice No.

6734 OR No.

__ | 1965 Manulife (International) Limited Manulife (International) Limited 6735 6736 1966 Exh.

Reference ICPA Report Annex Reference 1/9/2014 1/23/2014 1/9/2014 P-113- 1757 3-20 John Tancock Life Insurance Company (USA John Hancock Life Insurance Company (USA) 6745 6746 1977 1/2/2014 1/2/2014 P-113- | 1766 John Hancock Life Insurance Company (USA ! John I fancock | fe Insurance Company (USA John Mancock Life Insurance Company (USA) 6747 6748 6749 1978 1979 John Hancock Life Insurance Company (USA) 6750 John Hancock Life Insurance | Company (USA) John Hancock Life Insurance Company (USA John Hancock Life Insurance Company (USA) john I-lancock Life Insurance Company (USA John Hancock Life Insurance Company (USA John Hancock Life Insurance | Company (USA) John Hancock Life Insurance Company (USA John ITancock Life Insurance John [Hancock Life Insurance Company 6755 6756 1983 1984 1985 1986 1987 1/2/2014 1/2/2014 P-113- 1767 P-113- 1768 1/2/2014 | 3-20 In USD 55,482.90 66,317.84 In Php 2,422,939.85 2,896,102.00 123,067.68 3,040.84 5,374,369.16 132,793.57 3,040.84 132,793.57 | 29,305.68 3-20 1,263.72 1/2/2014 1/2/2014 1/2/2014 1/2/2014 1/2/2014 1/2/2014 1772 P-113- 1773 P-113- 1775 3-20 35,761.65 28,348.59 | 1,237,983.75 3-20 46,102.69 2,013,305.81 3-20 3-20 84,196.87 1,279,779.90 55,186.69 1,561,712.29 3,676,879.75 | 19,574.50 50,420.68 5,626.32 854,818.98 2,201,872.56 245,701.56 1/2/2014 6757 6758 1988 1989 1990 1/2/2014 1/2/2014 P-113- 1776 P-113- 1777 3-20 4,490.92 P-113- 1778 3-20 1/2/2014 P-113- 1779 3-20 2,817.92 123,058.65 555.21 196,118.61 24,246.04 555.21 24,246.04 | Pate

Invoice | OR Client No. No.

ICPA Report In Php OR Exh. Annex Date Reference | Reference In USD John Hancock Life Insurance Company (USA) 6760 1991 | 1/2/2014 3-20 1,383.00 John Hancock Life Insurance Company (USA 6761 1992 | 1/2/2014 3-20 380,139.20 John Hancock Life Insurance Company (US; 1/2/2014 37,876.03 John Hancock Life Insurance Company (USA 1/2/2014 37,765.86 John Hancock Life 16,600,689.89 60,395.65 1,654,047.33 1,649 ,236.20 Insurance Company (USA) 6764 1/2/2014 8,190.00 357,657.54 | John Hancock Life Insurance Company (USA 6766 1/2/2014 15,970.50 697,432.20 John Flancock Life Insurance Company (USA 6768 1/2/2014 37,770.01 1,649,417.43 John Hancock Life Insurance Company (USA 6769 1/2/2014 3-20 20,065.50 876,260.97 John Hancock Life Insurance P-113- Company (USA) 6770 | 2318 | 1/2/2014 1788 3-20 13,411.97 585,701.12 John Hancock JAfe Insurance P-113- Company (USA 6771 2001 | 1/2/2014 1789 3-20 18,245.04 796,761.43 John Hancock Life Insurance P-113- Company (USA 6772 2002 | 1/2/2014 1790 8,025.00 350,451.98 | John Hancock Life Insurance P-113- Company (USA 6773 2003 | 1/2/2014 1791 2,773.92 121,137.17 John Hancock Life Insurance P-113- Company (USA 6774 2004 | 1/2/2014 1792 3-20 7,644.00 333,813.70 John Hancock Life Insurance P-113- Company (USA 6777 2007 | 1/2/2014 1795 3-20 9,976.50 435,674.04 Manulife Asset Management (Hong Kong) P-113- Company Limited 6785 2015 | 5/2/2014 1801 3-20 6,152.43 268,676.79 | John Hancock Life Insurance P-113- Company (USA 6805 2035 | 1/2/2014 1809 3-20 20,242.80 884,003.66 | John Hancock Life Insurance P-113- Company (USA 6818 2048 | 1/2/2014 1819 3-20 6,651.00 290,449.36 ow

ICPA Report Invoice | OR OR Exh. Annex Client No. No. Date Reference | Reference In USD In Php John Hancock Life Insurance P-113- Company (USA 6821 2051 | 1/2/2014 1822 3-20 24,066.43 1,050,981.70 John Hancock Life Insurance Company (USA 6828 2058 | 1/2/2014 15,963.09 697,108.60 John Hancock Life Insurance Company (USA 6829 2059 | 1/2/2014 24,383.87 1,064,844.31 John Tancock Life Insurance P-113- Company (USA 6830 2060 | 1/2/2014 1828 3-20 11,410.65 498,303.41 John Hancock Life Insurance P-113- Company (USA) 6831 2061 | 1/2/2014 1829 3-20 23,319.24 1,018,351.89 John ITancock Life Insurance P-113- Company (USA 6832 2062 | 1/2/2014 1830 3-20 17,588.10 768,072.84 | John Hancock Life Insurance P-113- Company (USA 6834 2064 | 1/2/2014 1831 3-20 4,687.99 204,724.66 John Hancock Life Insurance Company (USA 6835 2065 | 1/2/2014 1,874.67 81,866.89 | John Hancock Life Insurance Company (USA) 6836 2066 | 1/2/2014 5,470.16 238,882.05 | Manulife Asset Management (Vietnam) Company Limited 6837 | 2067 | 1/2/2014 943.33 41,195.25 John Hancock Life Insurance Company (USA 6869 1/2/2014 3-20 897.00 39,172.02 John Hancock Life insurance P-113- Company (USA 6870 2100 | 1/2/2014 1859 3-20 3,104.70 135,582.34 John Hancock Life Insurance P-113- Company (USA 6871 2101 | 1/2/2014 1860 2,260.50 98,716.10 John Hancock T.ife | Insurance “anne P-113- Company (USA 6873 2103 | 1/2/2014 1861 2,025.08 88,435.30 John Hancock Life Insurance ne loel same P-113- , Sf 6874 2104 | 1/2/2014 1862 3-20 892.86 38,991.22 John Hancock Life Insurance ane lame 7 6875 2316 | 1/2/2014 3-20 691.52 30,198.70 John Hancock Life Insurance 6887 2115} 1/2/2014 3-20 141,447.85 6,177,031.68 Invoice _ Client No.

John Hancock Life Insurance Company (USA) ICPA Report OR OR Exh. Annex No. Date Reference Reference P-113- 2131 | 1/29/2014 1883 Manulife (International) Limited P-113- 2193 | 1/16/2014 1907 John Hancock Life Insurance Company (USA) P-113- 1912 2201 | 1/29/2014 John Hancock Lafe Insurance Company (USA John Hancock Life Insurance 6976 Company John Hancock Life Insurance | Company (USA John Hancock Life Insurance Company (USA John Hancock Life Insurance Company (USA John Flancock Life 6977 6978 6979 Insurance | Company (USA) 6980 P-113- 1/29/2014 1913 3-20 P-113- 2204 | 1/29/2014 1915 3-20 P-113- 1916 3-20 1/29/2014 2206 | 1/29/2014 1/29/2014 In USD In Php 9,475.01 121,447.70 3,040.84 420,774.93 5,393,360.83 135,040.41 | 1,728.12 27,692.90 1,425.64 26,520.09 32,196.94 2208 | 1/29/2014 John Hancock Life Insurance Company (USA 6981 John Flancock life Insurance Company (USA John Hancock Life Insurance 6982 Company (CSA 6983 John Hancock Life Insurance Company (USA John Hancock Life Insurance Company (USA) ; John Hancock Life i Insurance Company (USA John Hancock Life Insurance Company (USA John Hancock Life Insurance Company (USA fohn Ffancock Life 6986 6987 6988 Insurance Company (USA 6989 P-113- 2209 | 1/29/2014 1920 3-20 48,849.75 76,743.94 81,850.02 P-113- 1/29/2014 1921 3-20 2210 1/29/2014 1/29/2014 | _ C b 1/29/2014 1/29/2014 P-113- 1/29/2014 1926 3-20 P-113- 1/29/2014 1927 3-20 P-113- 2217 | 1/29/2014 1928 3-20 18,557.52 50,674.40 5,558.07 14,435.46 1,229,811.70 63,311.13 1,177,728.48 1,429,831.24 2,169,364.49 3,634,870.74 824,119.37 2,250,395.22 246,827.87 | 641,063.14 | 4,491.67 2,788.90 3,858.42 382,329.00 199,470.20 123,852.03 as | 171,348.25 16,978,816.84 lane

CTA CASE NO, 9126

Client No.

John Hancock Life Insurance 6990 John Hancock Life Insurance Company John Hancock Life Insurance Company (USA) John [lancock Life Insurance Company (USA John Hancock Life Insurance 7000 John Flancock Life Insurance John Hancock Life Insurance Company (USA John Hancock Life Insurance Company (USA John Hancock Life Insurance ; Company (USA) John [lancock Life Insurance Company (USA John [ancock Life Insurance Company (USA John | fancock Life Insurance Company (USA John Flancock Life Insurance Company Manulife Asset Management (Hong Kong) Limited 7015 Manulife Asset Management (Hong Kong) Lamited Manulife (Singapore) Pte Ltd. 7025 Manulife (Singapore) Pte Ltd. 7026 OR No.

6992 | 2220 2221 2229 2234 2235 2243 2253 2254 OR Date 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 1/29/2014 3/20/2014 7016 | 2244 | 5/17/2014 1/16/2014 1/16/2014 Exh.

Reference P-113- 1929 P-113- 1930 ICPA Report Annex Reference In USD 42,529.18 49,165.22 8,190.00 In Php 1,888,674.82 2,183,374.17 363,709.03 2,665.00 118,349.76 17,781.30 789,648.28 | P-113- 1934 3.20 34,023.86 1,510,962.77 P-113- 1935 3-20 20,962.40 930,917.48 | P-113- 1936 3-20 13,154.91 584,195.31 2,467.40 109,374.56 | 2,260.50 100,386.36 1,655.67 73,526.51 P-113- 1941 3-20 8,025.00 356,381.56 P-113- 1942 3-20 8,172.41 362,927.88 | P-113- 1950 3.20 3,464.29 153,845.37 P-113- 1951 3.20 7,713.38 342,542.85 936.00 41,366.75 P-113- 1961 3.20 1,905.34 84,614.08 | yw

Invoice | OR OR Exh.

Client No. Reference Manulife (Singapore) Pte ICPA Report Annex Reference In USD In Php 3-20 250.00 11,102.22 Ltd. 7027 1/23/2014 Manulife Asset Management (Hong Kong) Limited 7030 1/29/2014 13,041.66 579,165.99 John Hancock Life Insurance Company (USA 7040 2268 | 1/29/2014 20,697.48 919,152.67 John Hancock Life Insurance Company (USA 7054 2282 | 1/29/2014 6,651.00 295,363.71 John Hancock Life Insurance Company (USA 7057 2285 | 1/29/2014 3-20 26,354.11 1,170,357.48 Manulife (Singapore) Pte P-113- Led. 7058 2286 | 1/16/2014 1984 3-20 795.11 35,309.97 Manulife (Singapore) Pte P-113- | Id. 7059 2287 | 1/16/2014 1985 3-20 3,721.95 165,287.77 | Manulife (Singapore) Pte P-113- + L.tel. 7060 2288 | 1/16/2014 1986 3-20 22,558.91 1,001,816.76 John Hancock Life Insurance P-113- Company (USA 7064 2292 | 1/29/2014 1990 3-20 15,950.57 708,347.54 John Hancock Life Insurance P-113- Company (OSA) 7065 2293 | 1/29/2014 1991 3-20 25,180.21 1,118,225.86 John Hancock Life Insurance P-113- Company (USA 7066 2294 | 1/29/2014 1992 3-20 13,094.65 581,519.23 John Hancock Life Insurance P-113- Company (USA 7067 2295 | 1/29/2014 1993 3-20 23,329.73 1,036,048.04 John Hancock Life Insurance P-113- Company (USA) | 7068 | 2296 | 1/29/2014 1994 3-20 17,588.10 781,068.47 John Hancock Life Insurance P-113- Company (USA 7069 2297 | 1/29/2014 1995 73,818.00 3,278,177.44 John Hancock Life Insurance 7070 2298 | 1/29/2014 4,687.99 208,188.56 _| John Hancock Life Insurance P-113- Company (USA) 7071 2299 | 1/29/2014 1997 3-20 1,874.67 83,252.06 John Hancock Life Insurance P-113- Company (USA 7072 2300 | 1/29/2014 1998 3-20 5,470.16 242,923.88 Manulife Asset P-113- Management 7078 2306 | 1/29/2014 2003 3-20 131,389.00 5,834,843.19 “ry ICPA Report Invoice | OR OR Exh. Annex Client No. No. Date Reference | Reference In USD In Php (Hong Kong) Limited | Manulife Asset Management (Hong Kong) P-113- Limited 7084 2312 | 5/5/2014 2006 3-20 6,080.98 270,089.73 | John Iancock Life Insurance P-113- Company (USA 7087 2315 | 1/29/2014 2009 3-20 143,873.24 6,389,254.78 John Mancock Life Insurance P-113- Company (USA’ 6943 2171 | 1/29/2014 20288 3-20) 25,814.71 1,146,403.31 John Hancock T.ife | Insurance P-113- Company (USA 6944 2172 | 1/29/2014 202969 3-20 2,287.09 101,567.19 John Hancock Life Insurance P-113- Company (USA 6948 2176 | 1/29/2014 2033” 3-20 2,109.40 93,676.17 John Hancock Life Insurance Company (USA 6949 1/29/2014 8,189.31 = 363,678.39 | John Hancock Life Insurance P-113- Company (USA 6833 2063 | 1/2/2014 2040 3-20 67,289.21 | 2,938,521.75 John Hancock Life Insurance P-113- Company (USA 6994 2222 | 1/29/2014 2044 3-20 15,470.00 687,005.95 John Tancock Life =| Insurance P-113- Company (USA 6999 2227 | 1/29/2014 2045 3-20 21,000.04 932,589.03 John Hancock Life | Insurance P-113- Company (USA 7002 2230 | 1/29/2014 2046 3-20 1,958.09 86,956.66 John Hancock Life Insurance P-113- Company (USA 6765 1996 | 1/2/2014 2057 3-20 2,730.00 119,219.18 fohn I fancock Life Insurance P-113- Company (USA 6767 1998 | 1/2/2014 2058 3-20 17,586.60 768,007.33 John Hancock Life Insurance P-113- Company (USA 1/2/2014 2062 3-20 1,526.15 66,647.01 Manulife (International) P-113- Limited 1/16/2014 1369 3-20 54,256.11 2,409,455.08 Manulife (International) P-113- Limited 6964 2192 | 2/24/2014 1377 3-20 63,802.10 2,833,382.17 68 Actual Exhibit is “P-113-2029"; OR No. 2172. 69 Actual Exhibit is “P-113-2030"; OR No. 2173. 70 Actual Exhibit is “P-113-2034”; OR No. 2177.

7. Actual Exhibit is “P-113-2035”; OR No. 2178.

Ye

Invoice Client No.

!\1anulifc Asset lvlanagcmcn t (Vietnam) Company Limited 6668 OR OR Exh.

No.

Date Reference P-113- 1898 3/27/2014 1604 Zero-rated sales/ receipts without supporting documents rvlanulifc Asset l'vfanagemen t (Hong Kong) Con_1pany Limited 6839 nil nil nil !CPA Report Annex Reference In USD In Php 3-20 943.33 40,736.28 Subtotal $3,427, 719.93 Php150,998,486.35 3-21 $ (1,157.11) Php (50,531. 02) Subtotal $ (1,157.11) Php (50,531.02) Grand Total $3,446,449.48 Php151,761,337.64 Upon examination of the zero-rated ORs with the corresponding inward remittances, the Court finds that zero-rated sales amounting to Php519,458,005.83 must be additionally disallowed due to the following findings: Bank Credit I Invoice OR OR Exh.

Memo Client No.

No.

Date No.

Reference In USD In PHP Zero-rated sales supported with VAT O-rated ORs but without correspondint.r inward remittance Manulife Singapore Pte P- l.td Reg No.

113- 1980021160 5072 0305 4/29/2013 195 nil $ 345.70 Php 1-1.on-15 I Manulife Asset I :'Vlanagcmcn t (Vietnam) 1'- Company 113- Limited 5126 0359 4/29/2013 89 nil 1,500.00 61 ,065.UO Manulife Asset I\hnagemcnt (Vietnam) 1'- Company 113- 61,011R.08 ~ Limited 5257 0488 4/29/2013 257 nil 1,500.00 r>."lanulifc Asset J\.huutgement I (Vietnam) P- I Company 113- Limited 5577 0807 5/30/2013 541 nil 943.33 38,820.28 i Manulifc Asset I ::Vlanagement I (\'ietnam) P- Company 113- I Limited 5743 0973 6/28/2013 938 nil 943.33 39,008.58 i'vlanulife Asset Management (Vietnam) P- Company 113- J .imitcd 5925 1156 7/30/2013 771 nil 943.33 40,524.22 Client Manulife Asset Management (Vietnam) Company Limited Invoice No.

6111 OR No.

1342 | 8/30/2013 Manulife Asset Management (Vietnam) Company Limited Manulife Asset Management (Vietnam) Company Limited 6283 6435 1514 | 9/30/2013 1666 | 10/30/2013 Manulife Asset Management (Tong Kong) Company Limited 6599 1830 | 12/30/2013 Manulife Singapore Pte Ltd Reg No.

198002116D 6612 1843 | 12/30/2013 Manulife Singapore Pte Ltd Reg No.

198002116D Manulife Singapore Pte 1.td Reg No.

1980021161 Manulife Asset Management (Hong Kong) Company Limited 6049 6246 6418 1280 | 12/12/2013 12/20/2013 1649 | 12/30/2013 Bank Credit Memo Reference nil nil nil nil nil Manulife Singapore Pte Ltd Reg No.

198002116D Manulife Asset Management (Hong Kong) Company Limited Manulife Asset | Management (Hong Kong) Company Limited Manulife Asset Management (Hong Kong 6477 1708 | 10/30/2013 nil nil nil 6672 1903 | 11/29/2013 6786 6787 2016 | 12/31/2013 2017 | 12/31/2013 nil nil nil 170.01 943.33 943.33 3,099.76 390.00 141.00 141.00 3,130.42 141.00 14,660.89 3,559.68 3,184.95 In PHP 42,039.75 41,144.94 133,858.44 16,841.56 6,114.77 6,283.70 136,538.57 6,149.96 633,108.35 155,451.33 139,086.86 “Vw Client Company Limited Manulife Singapore Pte Ltd Reg No.

198002116D Manulife Singapore Pte Ltd Reg No.

198002116D Manulife Singapore Pte Ltd Reg No.

198002116D | Manulife Singapore Pte Ltd Reg No.

198002116D 6891 Amount in OR/invoice cannot be traced to inward remittance John Hancock OR Date Invoice | OR No. No.

6876 2105 2119 12/30/2013 12/30/2013 12/30/2013 12/30/2013 Life Insurance 5017 4/29/2013 John tlancock Life Insurance 5019 4/29/2013 John Hancock Life Insurance 5022 4/29/2013 John Hancock | Life Insurance 5027 4/29/2013 John Ilancock Life Insurance 5030 4/29/2013 John Hancock Lite Insurance 5031 4/29/2013 John Ilancock Life Insurance 5032 0265 | 4/29/2013 John Hancock Life Insurance 5033 4/29/2013 John Hancock Lafe Insurance 5034 4/29/2013 John Hancock | Life Insurance 3035 0268 | 4/29/2013 John Hancock Life Insurance 5036 0269 | 4/29/2013 Bank Credit Memo Reference Exh.

No.

nil nil 113- 1588 nil Subtotal In USD 565.50 813.81 150.00 $ 39,220.35 In PHP 24,695.40 35,539.11 nul 1,350.00 58,954.54 6,661.34 Php 1,689,595.38 ey P- 113- 36 3543057062 P- 113- 3543057062 3543057062 3543057063 3543057062 3543057062 3543057062 3543057062 3543057062 3543057062 3543057062 27,159.83 18,087.69 2,104.77 17,448.00 29,699.69 20,631.28 29,585.43 35,879.31 64,561.29 16,472.10 43,755.68 Php 1,105,676.68 736,349.86 85,685.19 710,308.08 1,209,074.38 839,899.41 | 1,204,422.86 _ 1,460,646.71 2,628,290,12 670,579.19 1,781,293.73 fv

Client John Hancock Life Insurance John Hancock John Hancock Lafe Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock | Life Insurance Jobn Flancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance Tafe Insurance Invoice No.

5042 5043 0276 5044 5045 5046 5047 5048 5049 John Hancock ji Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance od 0278 0279 4/29/2013 P 113- 4/29/2013 53 P- 113- 54 > I 113- 180 4/29/2013 0273 | 4/29/2013 p- 113- 0274 | 4/29/2013 181 4/29/2013 Exh.

No.

P- 113- 179 Bank Credit Memo Reference 3543057062 3543057062 3543057062 P- 113- 182 3543057062 p- 113- 4/29/2013 183 P 113- 4/29/2013 184 3543057062 3543057062 3543057062 3543057062 P- 113- 4/29/2013 185 3543057062 P- 113- 4/29/2013 186 p- 113- 0280 | 4/29/2013 287 0281 0282 5050 5051 John Hancock Life Insurance John Hancock Life Insurance 5054 0283 0284 0287 4/29/2013 4/29/2013 4/29/2013 4/29/2013 4/29/2013 0286 | 4/29/2013 4/29/2013 p- 113- 55 Pp.

113- 187 P- 113- 291 I 113- 189 p- 113- 190 p- 113- 191 P- 113- 188 3543057062 > 2 3543057062 3543057062 3543057062 3543057062 3543057062 354305706 3543057062 3543057062 In USD In PHP 6,488.49 264,146.43 : we 150.00 6,106.50 1,110.42 45,205.20 337,326.91 13,732,578.51. 8,025.00 | won| 31,183.48 1,269,479.47 14,885.00 605,968.35 7,410.00 301,661.10 2,730.00 111,138.30 16,380.00 | _____666,829.80 13,650.00 555,691.50 | 36,671.65 1,492,902.87 | 14,091.35 573,658.86 39,441.35 1,605,657.36 11,104.02 452,044.65 2,260.50 92,024.96 2,260.50 92,024.96 6,825.00 277,845.75 | “rw Bank Credit Invoice | OR OR Exh, Memo Client No. No. Date No. Reference In USD In PHP Manulife Asset Management p- (Hong Kong) 113- Limited 5063 4/29/2013 62 3544122140 3,045.09 124,900.46 Manulife Asset Management (Fong Kong) | Limited 5064 4/29/2013 3543269129 3,134.15 128,553.43 Manulife Asset Management (Ilong Kong) Limited 5074 0307 | 4/29/2013 3543234135 12,758.00 519,378.18 John Hancock Life Insurance 5081 4/29/2013 3543057062 40,968.00 1,667,807.28 P- John Hancock 113- Life Insurance 5087 0320 | 4/29/2013 410 3543057062 17,943.51 730,480.29 p- John Hancock 113- Life Insurance 5091 4/29/2013 3543057062 21,954.12 893,752.23 John I Tancock Life Insurance 5098 4/29/2013 3543057062 4,561.26 185,688.89 John Hancock Life Insurance 5100 4/29/2013 3543057062 16,575.53 _ 674,789.83 John Hancock lafe Insurance 5101 0334 | 4/29/2013 3543057062 7,252.20 295,237.06 John Hancock Jufe Insurance 5102 0335 | 4/29/2013 3543057062 4,701.79 191,409.87 4 John Hancock life Insurance 5103 4/29/2013 3543057062 1,874.67 76,317.82 John Ilancock Life Insurance 5104 4/29/2013 3543057062 15,430.67 628,182.58 Sc SEE John Hancock Lite Insurance 5105 4/29/2013 3543057062 16,931.70 689,289.51_ John Hancock Life Insurance 4/29/2013 3543057062 130.91 5,329.34) P- John Hancock 113- Life Insurance 4/29/2013 210 3543057062 (2,125.30) (99,497.70)

P- |

John Hancock 113- | Life Insurance 5121 0354 | 4/29/2013 293 3543057062 6,669.00 271,494.99

— ~T

P. | John Hancock 113- Life Insurance 5122 0355 | 4/29/2013 421 3543057062 16,491.51 671,369.37 ve

Client John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance at John Hancock lafe Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock life Insurance John Hancock Life Insurance John Flancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance | John Hancock Life Insurance John Hancock Life Insurance John Hancock Lite Insurance John Flancock Life Insurance John Elancock Jufe Insurance Invoice No.

5132 5184 5192 5204 oO N 0358 R oO.

P “sropans | 4/29/2013 215 P 113- 4/29/2013 92 P 113- 4/29/2013 22 0 OR Exh.

Date No.

P.

113- 0423 | 4/29/2013 221 p- 113- 0435 0436 5206 0437 4/29/2013 4/29/2013 4/29/2013 4/29/2013 4/29/2013 4/29/2013 4/29/2013 4/29/2013 5212 | 0443 | 4/29/2013 5213 | 0444 | 4/29/2013 5214 | 0445 | 4/29/2013 5215 4/29/2013 5216 4/29/2013 5217 4/29/2013 3543077074 3543077074 3543077074 Bank Credit Memo Reference 3543057062 3543057062 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 3543077074 In PHP 7,871.35 320,442.66 80,398.13 3,273,007.87 26,671.94 1,084,802.48 2,104.77 85,605.31 32,475.10 1,320,828.89 755,299.49 1,179,708.67 1,415,723.70 2,672,939.88 | 17,005.30 44,089.70 6,488.49 1,110.42 691,640.41 1,793,218.48 | 263,900.19 45,163.06 1,110.42 347,563.76 | 45,163.06 14,136,130.62 8,025.00 33,947.89 24,731.49 326,393.20 1,380,730.28 1,005,880.40 Vag

Bank Credit Invoice ; OR OR Memo Client No. No. Date Reference John Hancock Life Insurance 5218 0449 | 4/29/2013 238 3543077074 8,190.00 333,104.09 p- John Hancock 113- Life Insurance 5219 | 0450 | 4/29/2013 239 3543077074 2,730.00 111,034.70 p- John Hancock 113- Life Insurance 5220 | 0451 | 4/29/2013 240 3543077074 16,380.00 666,208.18 p- John Hancock 113- Life Insurance 5221 0452 | 4/29/2013 416 3543077074 14,980.68 609,294.97 p- John Hancock 113- Life Insurance 5222 | 0453 | 4/29/2013 417 3543077074 36,706.06 1,492,910.71 John Hancock Life Insurance 5223 | 0454 | 4/29/2013 3543077074 14,368.42 584,393.10 | John Hancock | Life Insurance 5224 0455 | 4/29/2013 3543077074 37,939.57 1,543,080.09 | John Hancock Life Insurance 5225 | 0456 | 4/29/2013 3543077074 11,104.02 451,623.26 | John Hancock | Life Insurance 5226 | 0457 | 4/29/2013 3543077074 1,490.22 60,610.30 | John Hancock Life Insurance 5227 | 0458 | 4/29/2013 3543077074 1,514.22 61,586.43 John Hancock Life Insurance 5228 | 0459 | 4/29/2013 3543077074 1,514.22 61,586.43 John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance Manulife Asset Management (Hong Kong) Limited Manulife Asset Management (Hong Kong) Limited 5231 5232 5240 5242 5243 ww t N No 2 4/29/2013 4/29/2013 4/29/2013 4/29/2013 0473 | 4/29/2013 0474 | 4/29/2013 3543077074 9,555.00 388,621.44 3543077074 3543077074 3543077074 3544122140 3543269129 6,669.00 18,117.41 3,079.89 3,136.69 271,241.90 736,872.21 12,201.62 125,265.44 127,575.61 “yv Bank Credit Invoice | OR OR Exh. Memo Client No. No. Date No. Reference In USD In PHP Manulife Asset | Management (Hong Kong) Company Limited 5253 0484 | 4/29/2013 3543234135 12,758.00 518,894.01 _ P- John Hancock 113- ].ife Insurance 5259 0490 | 4/29/2013 258 3543077074 40,968.00 1,666,252.54 P- John Hancock 113- Life Insurance 5265 4/29/2013 259 3543077074 16,868.67 686,083.39 > re Ni) lon P John Hancock 113- Life Insurance 5276 0507 | 4/29/2013 262 3543077074 4,561.26 185,515.79 P John Plancock 113- Life Insurance 5278 0509 | 4/29/2013 263 p- John Hancock 113- Life Insurance 5279 0510 | 4/29/2013 264 3543077074 4,556.01 \ 185,302.27 p- John Hancock 113- Life Insurance 5280 0511 | 4/29/2013 265 3543077074 2,755.26 112,062.07 Pp- John Hancock 113- Life Insurance 5281 0512 | 4/29/2013 3543077074 8,001.85 325,451.64 John Hancock life Insurance 5282 0513 | 4/29/2013 3543077074 17,892.00 727,704.32 p- John Hancock 113- l.ife Insurance 5283 | 0514} 4/29/2013 268 3543077074 18,090.18 735,764.71 | P- John Hancock 113- Life Insurance 0515 | 4/29/2013 269 3543077074 18,232.61 741,557.63 p- John Hancock 113- Life Insurance 0516 | 4/29/2013 270 3543077074 18,257.45 742,567.92 P- 3543077074 7,871.35 320,143.94 ion) Ww toe} ra wn to CO wi John Hancock 113- Life Insurance 5289 4/29/2013 3543077074 121,663.10 4,948 287.69 John Hancock life Insurance 5289 0520 | 4/29/2013 3543077074 7,318.64 297,664.09 John Hancock | we los Life Insurance 5329 0559 | 4/29/2013 3543119022 27,398.18 1,115,824.05 | Manulife 3543130192 (International) & Ltd 5341 0571 | 4/29/2013 3543134058 49,964.49 2,034,864.34 Manulife 3543130192 (International) —_ & Ltd 5342 0572 | 4/29/2013 3543134058 60,493.51 2,463,671.42 | aa Client Invoice No.

Manulife (International) Ltd John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance John Hancock Life Insurance OR No.

0573 OR Date 4/29/2013 0582 4/29/2013 4/29/2013 4/29/2013 4/29/2013 Bank Credit Memo Reference 3543130192 & 3543134058 3543119022 3543149022 3543119022 3543119022 In USD 122,071.42 18,084.87 28,690.65 35,345.66 John Hancock Life Insurance 4/29/2013 John Hancock Life Insurance 5354 0584 | 4/29/2013 John JTancock Lite Insurance 5355 0585 | 4/29/2013 John Ifancock Life Insurance 5356 0586 | 4/29/2013 John Hancock Life Insurance 5357 | 0587 | 4/29/2013 John Hancock Life Insurance 5358 0588 | 4/29/2013 John Hancock Life Insurance 5359 | 0589 | 4/29/2013 John Hancock Life Insurance 5360 | 0590 | 4/29/2013 John Hancock Life Insurance 5361 0591 | 4/29/2013 John Hancock Life Insurance 4/29/2013 John Hancock Life Insurance 4/29/2013 John Hancock Life Insurance John Hancock Life Insurance 5365 4/29/2013 4/29/2013 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 3543119022 66,658.62 16,631.72 42,600.92 6,603.05 1,110.42 347,670.02 34,393.89 32,077.50 9,486.75 2,661.75 16,465.30 14,524.33 43,060.22 1,753,679.59 | In PHP 4,971,994.11 1,313,054.57 736,528.22 1,168,461.45 1,439,494.79 2,714,752.99 677,346.93 1,734,974.04 268,917.20 45,223.20 14,159,282.43 1,400,732.80 1,306,395.02 386,359.38 108,402.99 670,569.27 591,520.92 Vv

Invoice Client No.

John I lancock Life Insurance 5366 John Hancock Life Insurance 5367 John Hancock J .ife Insurance 5368 John Hancock I .ife Insurance 5369 John Hancock I .ife Insurance 5370 John r fancock Li fc Insurance 5371 John Hancock J .ifc Insurance 5372 John Hancock l.ife Insurance 5373 .John I Iancock l .ife Insurance 5375 John Hancock Life Insurance 5376 John Hancock I .ife Insurance 5384 iv!anulife Asset 1\.hnagemcnt (!-long Kong) Limited 5386 Manulife Asset lvlanagement (f long Kong) Company 1 --imitcd 5394 John Hancock L.ifc Insurance 5401 John Hancock Life Insurance 5407 I ohn Han cock l.i fe Insurance 5415 John Hancock Life Insurance 5416 OR OR No.

Date 0596 4/29/2013 0597 4/29/2013 0598 4/29/2013 0599 4/29/2013 0600 4/29/2013 0601 4/29/2013 0602 4/29/2013 0603 4/29/2013 0605 4/29/2013 0606 4/29/2013 0614 4/29/2013 0616 4/29/2013 0624 4/29/2013 0631 4/29/2013 0637 4/29/2013 0645 4/29/2013 0646 4/29/2013 Bank Credit Ex h.

Memo No.

Reference In USD In PHP P- 113- 439 3543119022 14,469.00 589,267 54 P- 113- 440 3543119022 31,877.51 1,298,250 18 P- 113- 441 3543119022 11,104.02 452,224.66 P- 113- 442 3543119022 8,025.00 326,827.84 P- 113- 443 3543119022 1,491.75 60,753.32 P- 113- 465 3543119022 1,515.75 61,7311.75 P- 113- 444 3543119022 1,515.75 61,730.75 P- 113- 445 3543119022 9,520.88 387,749.36 P- 113- 446 3543119022 9,976.50 40(,,305.(14 P- 113- 472 3543119022 20,754.70 845,260.28 P- 113- 447 3543119022 5,310.72 216,285 50 P- 113- 399 3543269129 3,147 28 128,176.79 P- 113- 358 3543234135 12,758.00 519,584 99 P- 113- 454 3543119022 40,968.00 1,668,47139 P- 113- 455 3543119022 14,470.46 589,327.00 P- 113- 456 3543119022 1,140.32 46,440.91 P- 113- 372 3543119022 8,514.49 346,761.91

Invoice Client No.

John Hancock Life Insurance 5417 John Hancock J .ifc Insurance 5418 John Hancock Life Insurance 5419 John Hancock Life Insurance 5424 John Hancock I .ife Insurance 5433 John Hancock l .ife Insurance 5437 John Hancock Life Insurance 5441 ivlanulifc Asset 1v1anagcment (I long Kong) J.imitcd 5444 John Hancock Life Insurance 5445 John Han cock Life Insurance 5447 John I lancock Life Insurance 5451 John llancock I .ife Insurance 5458 John Hancock Life Insurance 5499 John Hancock I .ife Insurance 5500 John Hancock life Insurance 5526 John Hancock Life Insurance 5527 John Hancock 1 .ifc Insurance 5528 John Hancock Life Insurance 5529 OR OR No.

Date 0647 4/29/2013 0648 4/29/2013 0649 4/29/2013 0654 4/29/2013 0663 4/29/2013 0667 4/29/2013 0671 4/29/2013 0674 4/29/2013 0675 4/29/2013 0677 4/29/2013 0681 4/29/2013 0688 5/30/2013 0729 5/30/2013 0730 5/30/2013 0756 5/30/2013 0757 5/30/2013 0758 5/30/2013 0759 5/30/2013 Bank Credit Ex h.

Memo No.

Reference In USD In PHP P- 1 Ll- 457 3543119022 4,556.01 185,549.02 P- 113- 458 3543119022 1,874.67 76,348.21 P- 113- 459 3543119022 9,487.30 386,38178 P- 113- 460 3543119022 1,11042 45,223.20 P- 113- 461 3543119022 16,931.70 689,563.98 P- 113- 463 3543119022 19,733.28 803,(,61.72 P- 113- 464 3543119022 16,589.79 (,75,639.28 P- 113- 400 3544122140 6,109.48 248,815.97 P- 113- 401 3543119022 23,980.30 976,626.75 P- 113- 403 3543119022 250.00 10,181.55 P- 113- 473 3543119022 123,191.83 5,0 17,13640 P- 113- 843 3543149149 16,708.49 687,594.15 P- 113- 844 3543149149 31,437.10 1,293,711.52 P- 113- 845 3543149149 1,784.55 70,650.97 P- 113- 847 3543149149 2,280.63 93,853.35 P- 113- 848 3543149149 31,145.93 1,281,729.18 P- 113- 849 3543149149 31,145.93 1,281,729.18 P- 113- 850 3543149149 37,974.52 1,562,741.91 if Bank Credit | Invoice | OR OR Exh. Memo Client [Ne No. Date No. | Reference | In USD In PHP Pp.

John Hancock | 113- Life Insurance 5530 0760 | 5/30/2013 851 3543149149 | 66,921.83 | 2,753,992.64 p- John Hancock 113- Life Insurance —_| 5531 0761 | 5/30/2013 852 | 3543149149 41,241.50 1,697,185.92 p- John Hancock 113- Life Insurance 5532 0762 | 5/30/2013 853 3543149149 6,785.72 279,248.53 | P- John Hancock | 113- Life Insurance 5533 0763 | 5/30/2013 854 3543149149 1,110.42 45,696.43 | pP- John Hancock 113- Life Insurance 5534 oT 5/30/2013 855 3543149149 1,110.42 | 45,696.43 p- John Hancock 113- Life Insurance 5535 0765 | 5/30/2013 | 856 3543149149 342,764.33 14,105,568.29 | | p- John Hancock 113- Life Insurance | 5536 0766 | 5/30/2013 857 Shei 8,025.00 330,247.86 | Pp.

John Hancock 113- lafe Insurance 5/30/2013 858 33,802.84 1,391,067.35 John Hancock

5537 0767

5538 P- J.ife Insurance | 0768 | ssso/203 3.

859 3543149149 3543149149 30,031.42 1,235,864.44 [— John Hancock 113- p- John Hancock 113- Life Insurance 5539 | 0769 | 5/30/2013 860 | 3543149149 8,190.00 337,038.00 e ] / > an John Hancock 113- |.ife Insurance 5540 | 0770 | 5/30/2013 861 3543149149 2,730.00 112,346.00 | p- John Hancock 113- | Life Insurance 5541 0771 | 5/30/2013 862 | 3543149149 13,650.00 561,730.00 Pp- John Hancock 113- [Life Insurance 5542 0772 | 5/30/2013 863 3543149149 16,334.61 672,208.09 | p- John Hancock 113- | Lite Insurance 5543 | 0773 | 5/30/2013 864 3543149149 42,753.67 1,759,415.31 | | p- John Hancock 113- Life Insurance 5544 | 0774 | 5/30/2013 865 3543149149 14,912.18 613,671.71 | [— Life Insurance 5545 | 0775 | 5/30/2013 +866 Seas 28,076.19 1,155,402.07 p- John Hancock | 113- Life Insurance 5546 | 0776 5/30/2013 867 3543149149 11,104.02 456,956.86 John JTancock 7 113- Life Insurance 5547 O777 | 5/30/2013 | 868 3543149149 | 1,602.16 65,932.70 | ae

Invoice Client No.

John llancock Life Insurance 5548 John Hancock Life Insurance 5549 John Hancock Life Insurance 5550 John Hancock Life Insurance 5552 John Hancock Life Insurance 5553 John Hancock Life Insurance 5554 John Hancock f .ife Insurance 5561 John Hancock Life Insurance 5562 John Hancock Life Insurance 5563 lv1anulifc Asset Iv1anagement (llong Kong) ] .imited 5566 i'v[anulife I\sset I\1anagcment (Hong Kong) Company Limited 5573 John 1-1 ancock I .ife Insurance 5579 John llancock Life Insurance 5584 John Hancock l .ife Insurance 5596 John Hancock Life Insurance 5597 John Hancock Lift> Insurance 5598 John Hancock Life Insurance 5599 OR OR No.

Date 0778 5/30/2013 0779 5/30/2013 0780 5/30/2013 0782 5/30/2013 0783 5/30/2013 0784 5/30/2013 0791 5/30/2013 0792 5/30/2013 0793 5/30/2013 0796 9/26/2013 0803 8/22/2013 0809 5/30/2013 0814 5/30/2013 0826 5/30/2013 0827 5/30/2013 0828 5/30/2013 0829 5/30/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP 1'- 113- 869 3543149149 1,514.32 62,317.87 P- 113- 870 3543149149 1,514.32 62,31H7 !'- 113- 871 3543149149 9,555.00 393,211.00 P- 113- 872 3543149149 2,675.00 110,082.62 P- 113- 873 3543149149 9,976.50 410,556 n !'- 113- 874 3543149149 19,357.18 796,594 OS P- 113- 875 3543149149 2,250.00 92,592.86 P- 113- 876 3543149149 3,737.17 153,79344 P- 113- 877 3543149149 350.00 14,403.33 P- 113- 789 3543269129 3,109.73 127,972.79 P- 113- 796 3543234135 12,758.00 525,022.08 P- 113- 879 3543149149 40,968.00 1,685,930 74 P- 113- 880 3543149149 14,842.81 610,816.97 P- 113- 881 3543149149 18,034.87 742,177.84 P- 113- 882 3543149149 17,946.19 738,528.45 P- 113- 883 3543149149 9,372.02 385,680.94 P- 113- 884 3543149149 4,909.32 202,030 21

CTA CASE NO, 9126

To] | “| Bank Credit Invoice | OR OR Exh. Memo Client LL No. | _No- Date No. Reference i In USD In PHP

— D TT

John Hancock 113- | Life Insurance [5600 | 0830 | 5/30/2013 885 | 3543149149 1,874.67 77,147.13

P- T

John Hancock 113- Life Insurance 5601 0831 an 886 3543149149 23,856.00 981,731 20 me DP.

John [Hancock 113- | Life Insurance 5602 | 0832 vhenn | 887 3543149149 16,984.60 698,956.73 |} p- John Hancock a; 113- | Life Insurance 5604 0834 | 5/30/2013 | 888 3543149149 9,487.74 | 390,443.09 P- John Hancock 113- | Life Insurance 5607 0837 | 5/30/2013 889 3543149149 28,076.19 1,155,402.07 | John Hancock 113- Life Insurance 5609 | 0839 | 5/30/2013 ee 3543149149 + 18,084.87 | __ 744,235.46 P- John Hancock 113- Life Insurance 5616 ‘| 084 5/30/2013 | 934 | 3543149149 | 126,584.84 5,209,267.56 P- John Hancock 113- | Life Insurance 5663 | 0x0 6/28/2013 | 3543171200 i 27,199.74 | 1,124,763.65 p- John Hancock | Te Life Insurance 5664 0894 | 6/28/2013 1,597.14 66,044.93 p- 894 3543171200 John Hancock 113- Life Insurance 5688 | 0918 | 6/28/2013 ~ 3543171200 2,280.63 | 94,308.61 John Hancock 113- | Life Insurance 5689 | 0919 | 6/28/2013 896 3543171200 29,682.98 1,227,450.59 —f P- ml John Hancock 113- Life Insurance 5690 | 0920 | 6/28/2013 897 3543171200 17,926.66 | 741,303.24 P- John Hancock 113- Life Insurance | 5691 | 0921 | 6/28/2013 609 3543171200 28,954.21 1,197,314.49 |

P- |

John Hancock 113- Life Insurance 5692 | 0922 | 6/28/2013 898 3543171200 35,122.56 | _ 1,452,388.10 r ann John Hancock 113- Life Insurance 5693 | 0923 | 6/28/2013 899 3543171200 | 59,075.79 2,442,902.07 | p- John Hancock 113- Lite Insurance | 5694 | 0924 | 6/28/2013 900 |_ 3543171200 = 17,606.65 728,070.19 | — p- - John Hancock 113- Life Insurance 5695 | 0925 | 6/28/2013 901 3543171200 40,738.11 | 1,684,602.32

D- —

John Ilancock 113- | Life Insurance 5696 | 0926 | 6/28/2013 | 902 3543171200 6,743.07 | _ 278,839.43 Vaal

[ ] [ Bank Credit _ Invoice | OR OR Exh. Memo Client No. No. Date No. Reference In USD In PHP P- John Hancock 113- | Life Insurance 5697 _| 0927 6/28/2013 “ | 3543171200 | 1,110.42 45,91 8.09 | John Flancock 113- Life Insurance 5698 eae | 6/28/2013 904 3543171200 1,110.42 45,918.09 |

P- |

John Hancock 113- Life Insurance |_ 5699 0929 | 6/28/2013 905 | 3543171200 343,705.90 | 14,212,926.38 p- John Hancock 113- Lafe Insurance 5700_| 0930 6/28/2013 | 906 3543171200 8,025.00 | 331,849.80 P- John Hancock 113- life Insurance | 5701 0931 | 6/28/2013 | 907 3543171200 | 32,787.90 aan P- John Hancock 113- Life Insurance 8 0932 | 6/28/2013 908 | 3543171200 _ SOR 2 | 1,404,657.97 | p- John Hancock 113- | lafe Insurance ao 5703 | 0933 | 6/28/2013 909 3543171200 + 8,190.00 | 338,672.88 p- John Hancock 113- Life Insurance 5704 | 0934 | 6/28/2013 910 | 3543171200 _| 2,730.00 112,896.96 | Pp.

John Hancock 113- Life Insurance 5705 Me | 6/28/2013 911 3543171200 7 13,463.86 | 556,757.54 | r p- John Hancock | 113- Life Insurance S706 | 0936 | 6/28/2013 912 | 3543171200 _[_ 18,810.65 777,858.00 | Pp.

John Hancock 113- a sura 2 31712 41,645.10 1,722,108.18 LI ife Insurance 5707 | 0937 | 6/28/2013 oS 3543171200 5 | | John Hancock 113- Life Insurance 5708 | 0938 | 6/28/2013 914 3543171200 16,501.76 682,380.78 oY ot + John Hancock 113- Life Insurance 5709 | 0939 ans 936 | 3543171200 i 24,085.93 996,001.38 r | P- John Hancock 113- Life Insurance 5710 | 0940 6/28/2013 | 937 3543171200 11,104.02 | 459,173.44 | | p- John Hancock 113- L Life Insurance 5711 qu | 6/28/2013 “8 | 3543171200 2,428.26 100,413.41 John Hancock 113- | Life Insurance 5712 0942 | 6/28/2013 916 3543171200 2,260.50 93,476.20 TT P- John Hancock 113- Life Insurance | 5713 0943 | 6/28/2013 917 3543171200 2,260.50 93,476.20 | John Hancock 113- Life Insurance 5714 | 0944 | 6/28/2013 | 918 3543171200 7,941.82 | 328,410.14 lad ITA CASE NO. 9126 Invoice Client No.

John Hancock Life Insurance 5717 John llancock Life Insurance 5718 John Hancock Life Insurance 5725 John Hancock Life Insurance 5726 John Hancock Life Insurance 5727 I'vfanulife Asset lv1anagement (Hong Kong) Limited 5731 lvlanulifc Asset Ivlanagement (I long Kong) Company Limited 5739 John Hancock Life Insurance 5750 John Hancock Life Insurance 5764 John Hancock 1 ,ife Insurance 5765 John Hancock Life Insurance 5766 John Hancock Life Insurance 5767 John llancock Life Insurance 5768 John Hancock I .ife Insurance 5769 John llancock Life Insurance 5770 John rlancock Life Insurance 5771 John Hancock l.ife Insurance 5772 OR OR No.

Date 0947 6/28/2013 0948 6/28/2013 0955 6/28/2013 0956 6/28/2013 0957 6/28/2013 0961 9/26/2013 0969 8/22/2013 0980 6/28/2013 0994 6/28/2013 0995 6/28/2013 0996 6/28/2013 0997 6/28/2013 0998 6/28/2013 0999 6/28/2013 1000 6/28/2013 lQ()J 6/28/2013 1002 6/28/2013 Bank Credit Exh.

Memo No.

Reference In USD InPHP P- 113- 919 3543171200 9,976.50 412,548.23 P- 113- 920 3543171200 19,357.18 800,458.11 P- 113- 618 3543171200 450.00 18,608.40 P- 113- 921 3543171200 3,737.17 154,5.1945 P- 113- 922 3543171200 150.00 6,202.80 P- 113- 799 3543269129 3,147.32 l30,147.9H P- 113- 801 3543234135 12,758.00 527,568.82 P- 113- 960 3543171200 15,381.39 636,051.24 P- 113- 945 3543171200 18,230.61 753,872.18 P- 113- 946 3543171200 17,946.19 742,110.85 P- 113- 947 3543171200 9,372.02 387,551.77 P- 113- 948 3543171200 42,022.77 1,737,725.59 P- 113- 949 3543171200 7,570.23 313,044.15 1'- 113- 950 3543171200 1,874.67 77,52135 P- 113- 951 3543171200 23,856.00 986,493.31 P- 113- 952 3543171200 17,239.73 712,897.31 P- 113- 953 3543171200 8,543.75 353,301.15

Invoice Client No.

John Hancock Life Insurance 5778 John Hancock Life Insurance 5786 John Hancock Life Insurance 5825 John Hancock Life Insurance 5826 John I-I an cock Life Insurance 5827 John Hancock Life Insurance 5828 John r fancock Life Insurance 5829 John Hancock Life Insurance 5830 John Hancock Life Insurance 5831 John flancock Life Insurance 5832 John Hancock Life Insurance 5833 John Hancock Life Insurance 5834 John Hancock Life Insurance 5835 John Hancock Life Insurance 5836 John Hancock Life Insurance 5837 John I Iancock Life Insurance 5838 John Hancock T ..ife Insurance 5839 John f-1 an cock J.i fe Insurance 5840 OR OR No.

Date 1009 6/28/2013 1017 7/30/2013 1056 7/30/2013 1057 7/30/2013 1058 7/30/2013 1059 7/30/2013 1060 7/30/2013 1061 7/30/2013 1062 7/30/2013 1063 7/30/2013 1064 7/30/2013 1065 7/30/2013 1066 7/30/2013 1067 7/30/2013 1068 7/30/2013 1069 7/30/2013 1070 7/30/2013 1071 7/30/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP P- 113- 923 3543171200 121,521.21 5,025,145.08 P- 113- 632 3543205213 6,743.07 289,673.41 P- 113- 671 3543205213 29,674.40 1,274,773.18 P- 113- 672 3543205213 18,050.75 775,43647 P- 113- 673 3543205213 28,920.09 1,242,369.01 P- 113- 674 3543205213 32,907.14 1,413,64744 P- 113- 675 3543205213 63,580.30 2,731,32(J.03 P- 113- 676 3543205213 20,827.06 894,703.09 P- 113- 677 3543205213 41,345.05 1,776,128 95 P- 113- 678 3543205213 3,737.17 160,543.91 P- 113- 679 3543205213 1,337.50 57,457 24 P- 113- 680 3543205213 1,383.00 59,411.86 P- 113- 681 3543205213 33,020.14 1,418,501.77 P- 113- 682 3543205213 28,665.00 1,231,410.68 P- 113- 683 3543205213 8,190.00 351,83102 P- 113- 684 3543205213 2,730.00 117,277 21 P- 113- 685 3543205213 14,673.75 630,364.99 P- 113- 686 3543205213 15,347.47 659,307.12

[——— ———- 4 | Bank Credit | — | Invoice | OR OR Exh. Memo Client 4 No. | No. | Date _| No. | Reference InUSD_ | _—sIn PHP p- John Hancock 113- Life Insurance | 5841 _{ 1072 7/30/2013 a |_ 3543205213. | 41,936.50 | 1,801,536.86 Pp.

John Hancock 113- Life Insurance tee i 7/30/2013 | 688 3543205213 20,338.50 | 873,715.20 | r p- John Hancock 113- Life Insurance| 5843 {1074 7/30/2013 689 3543205213 | 17,734.73 | 761,860.67 | p- John Hancock 113- Life Insurance a 5844 _| 1075 |_ 7/30/2013 ae 3543205213 | 8,025.00 344,743.44 | p- John Hancock 113- Life Insurance | 5845 1076 | 7/30/2013 691 3543205213 2,337.39 | 100,411.20 |

P- |

John Ilancock 113- Life Insurance + 5847 1078 | 7/30/2013 693 3543205213 a 2,260.50 97,108.11 P- John tlancock 113- Life Insurance | 5848 _| 1079 | 7/30/2013 694 3543205213 4 8,241.18 | 354,030.25 Pp.

John Hancock 113- Life Insurance 5851 1082 | 7/30/2013 697 3543205213 9,976.50 428,577.31 | P- i John Hancock [ 113- | lafe Insurance |__9852__ | 1083 7/30/2013 698 {_ 3543205213_| 23,452.18 1,007,474.79 | Manulife Asset Management (Hong Kong) p- Company 113- imi 92 201 707 543269129 3,327.59 142,948.89 | Jimited _| 61 10 | 9/26/ 013 _ [ = John Hancock 113- Life Insurance + 5869 7 100 | 7/30/2013 | 715 3543205213 16,488.90 708,341.45 j P- John flancock 113- | Life Insurance _| 5883 | 1114 | 7/30/2013 729 3543205213 18,230.61 | _ 783,163.02 Pp.

John Hancock 113- Life Insurance 5884 nt Tesoro 730 3543205213 BOL Ne 837,310.29 John Hancock 113- Life Insurance _| et 1116 | 7/30/2013 731_{ 3543205213 | 9,372.02 402,609.65 | P- John Hancock | 113- Life Insurance 5886 1117 | 7/30/2013 732 3543205213 23,158.50 994,858.69 r~ TO P| | John Hancock 113- L Life Insurance 5887 | 1118 | 7/30/2013 733 3543205213 16,932.70 727,406.51 2 —}— ~ mi a p- John Hancock 113- Life Insurance 5888 | 1119 | 7/30/2013 |__734 3543205213 [| __ 41,718.75 1,792,182.61 ate

Invoice Client No.

John l Iancock 1 .ife Insurance 5889 John Hancock Life Insurance 5890 John Hancock Life Insurance 5891 John Hancock I .ife Insurance 5896 John Hancock ] .ife Insurance 5901 John I Ian cock Life Insurance 5902 John Hancock Life Insurance 5917 John Hancock Life Insurance 59!9 John Hancock Life Insurance 5927 Manulife Asset :'v1anagement (Hong Kong) Company Limited 5930 1\fanulife Asset lvfanagement (Hong Kong) Company J.imited 5940 John Hancock Life Insurance 5945 John Hancock 1 .ifc Insurance 5954 John I I an cock Life Insurance 5982 John Hancock Life f nsurance 5998 John Hancock Life Insurance 5999 John Hancock Life 1 nsurance 6000 OR OR No.

Date 1120 7/30/2013 1121 7/30/2013 1122 7/30/2013 1127 7/30/2013 1132 7/30/2013 1133 7/30/2013 1148 7/30/2013 1150 7/30/2013 1158 7/30/2013 1161 8/22/2013 1171 7/30/2013 1176 7/30/2013 1185 8/30/2013 1213 8/30/2013 1229 8/30/2013 1230 8/30/2013 1231 8/30/2013 Bank Credit Ex h.

Memo No.

Reference In USD In PHP P- 113- 735 3543205213 7,196.80 309,165.06 P- 113- 736 3543205213 1,874.67 80,533.% P- 113- 737 3543205213 9,498.30 408,034.47 P- 113- 742 3543205213 339,875.58 14,600, (,(]7. 71 P- 113- 747 3543205213 2,280.63 97,972.86 P- 113- 748 3543205213 555.21 23,851.119 P- 113- 763 3543205213 9,122.52 391,891.46 P- 113- 765 3543205213 267.86 11,506.91 P- 113- 773 3543205213 29,562.40 1,269,961.81 P- 113- 776 3543234135 12,758.00 548,066.89 P- 113- 782 3544122140 6,065.97 260,586.09 P- 113- 787 3543205213 120,557.08 5,178,973.53 P- 113- 1258 3543234323 9,475.01 410,904.41 P- 113- 1259 3543234323 30,955.38 1,342,447 35 P- 113- 1260 3543234323 3,040.84 131,872.64 P- 113- 996 3543234323 29,707.84 1,288,345.06 P- 113- 1261 3543234323 3,001.34 130,159.63 fo | Bank Credit - — Invoice | OR OR Exh. Memo Client | No. No. | Date | No. Reference In USD | In PHP P- John Hancock [ 113- Life Insurance 6001 1232 | 8/30/2013 3543234323 | 19,353.70 839,315.27 p- John Hancock 113- Life Ins > 233 | 0/2 | 1 2 23 . 1,293 842.72 [lt e Insurance 6002 1233 | 8/30/2013 ri 3543234323 29,834.61 ,293,842.7 Jobn Hancock 113- Life Insurance i 6003 1234 | 8/30/2013 1263 | 3543234323 33,502.98 1,452,929.56 | p- John Hancock 113- Life Insurance 6004 | 1235 8/30/2013 1264 3543234323 63,960.89 |_ 2,773,803.04

P- |

John Hancock 113- life Insurance 6005 1236 | 8/30/2013 1265 3543234323 20,057.94 | 869,856.17

| P- [~

John Hancock 113- Life Insurance 6006 1237 | 8/30/2013 1266 | 3543234323 14,123.92 | 1,913,529.71 | P- John Hancock 113- John Hancock Life Insurance 8/30/2013 | 1271 “| | P 113- stan Life Insurance | 6007 | 1238 | 8/30/2013 | 1310 3543254325 | 7,239.43 313,953.62 P- John Hancock 113- | Life Insurance 6008 | 1239 | 8/30/2013 | 1267 3543234323 | 3,756.32 162,900.98 | P- John Hancock 113- Life Insurance 6009 1240 | 8/30/2013 1268 3543234323 5,004.98 | 217,051.84 nal John Hancock 113- Life Insurance 6010 | 1241 | 8/30/2013 | 1269 3543234323 555.21 24.077,89 5 nee ed eC John Hancock 113- Life Insurance 6011 1242 | 8/30/2013 | 1270 3543234323 | 1,383.00 59,976.80 tT P.

John Hancock 113- Life Insurance 6012 1243 3543234323 20,698.61 897,640.22 ig) 2 15,247,712.30 | 6013 | 1244 }————- 8/30/2013 } 1132 a = | > 351,595.71 John Hancock 113- Life Insurance 6014 1245 | 8/30/2013 1272 3543234323 30,172.11 1,308,479.14

| P-

John Hancock 113- Life Insurance 6015 1246 | 8/30/2013 1273 3543234323 29,675.51 1,286,943.00 | Be P- aa i— ~~ John Hancock 113- | ite Insurance | 6016 1247 | 8/30/2013 ee 3543234323 J 7,138.95 309 596 09 | John Hancock 113- | Life Insurance 6017 1248 | 8/30/2013 1275 | 5543234323 2,730.00 118,392.38 | wr | i 7 john Hancock 113- lafe Insurance 6018 1249 | 8/30/2013 1276 3543234323 15,015.00 651,158.12 | yw

Invoice Client No.

John Hancock Life Insurance 6019 John Hancock Life Insurance 6020 John Hancock Life Insurance 6021 John llancock I .ife Insurance 6022 John [ lancock f .ife Insurance 6023 John Han cock J.ife Insurance 6024 John Hancock Life Insurance 6025 John Hancock Life Insurance 6029 .John llancock Life Insurance 6036 John Hancock l .ife Insurance 6037 :'\hnulifc Asset lvlanagcment (Hong Kong) C<>mpany I .imitcd 6041 John [ lancock 1 .ife Insurance 6053 John Hancock I .ife Insurance 6072 John Hancock Life Insurance 6073 John llancock I .ife Insurance 6074 John Hancock Life T nsurancc 6075 John I-I an cock I .ife Insurance 6076 OR OR No.

Date 1250 8/30/2013 1251 8/30/2013 1252 8/30/2013 1253 8/30/2013 1254 8/30/2013 1255 8/30/2013 1256 8/30/2013 1260 8/30/2013 1267 11/4/2013 1268 8/30/2013 1272 9/26/2013 1284 8/30/2013 1303 8/30/2013 1304 8/30/2013 1305 8/30/2013 1306 8/30/2013 1307 8/30/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP P- 113- 1277 3543234323 16,857.28 731,052.59 P- 113- 1278 3543234323 40,137.17 1,740,635.63 P- 113- 1279 3543234323 19,296.14 836,819.(16 P- 113.

1280 3543234323 17,426.36 755,711.98 P- 113- 1281 3543234323 9,787.52 42'1,457.08 P- 113- 1282 3543234323 8,025.00 348,021.57 P- 113- 1283 3543234323 8,190.00 355,177.15 P- 113- 1284 3543234323 20,910.24 906,818.0 I P- 113- 1410 3543308149 300.00 13,010.15 P- 113- 1285 3543234323 625.00 27,104.48 p.

113- 1255 3543269129 3,174.83 137,68340 P- 113- 1256 3543234323 14,999.02 650,465.11 P- 113- 1288 3543234323 15,762.11 683,558.17 P- 113- 1289 3543234323 20,295.82 880, 172 .. '\6 P- 113- 1290 3543234323 7,803.14 338,400.13 P- I 113- 1291 3543234323 23,039.72 999,167.54 P- 113- 1292 3543234323 16,932.70 734,323.35

Invoice Client No.

John Hancock I.ife Insurance 6077 John Hancock Life Insurance 6078 John Hancock J.ife Insurance 6079 John Hancock Life Insurance 6080 John Hancock Life Insurance 6101 John Hancock Life Insurance 6102 John Hancock Life Insurance 6103 John Hancock Life Insurance 6104 John 1-Iancock Life Insurance 6113 John Hancock I .ife Insurance 6123 John Hancock Life Insurance 6123 John Hancock Life I nsurancc 6169 John Hancock I .ifc I nsurancc 6194 John llancock Life Insurance 6195 John Hancock Life Insurance 6196 John Hancock Life Insurance 6197 John Hancock I ..ife Insurance 6198 John Hancock I .ifc Insuranc<:

6199 OR OR No.

Date 1308 8/30/2013 1309 8/30/2013 1310 8/30/2013 1311 8/30/2013 1332 8/30/2013 1333 8/30/2013 1334 8/30/2013 1335 8/30/2013 1344 8/30/2013 1354 8/30/2013 1354 8/30/2013 1400 9/30/2013 1425 9/30/2013 142(, 9/30/2013 1427 9/30/2013 1428 9/30/2013 1429 9/30/2013 1430 9/30/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP P- 113- 1293 3543234323 48,889.21 2,120,186.87 P- 113- 1294 3543234323 4,187.44 181,597.44 P- 113- 1295 3543234323 1,376.54 59,696.65 P- 113- 1296 3543234323 3,105.59 134,680.66 P- 113- 1297 3543234323 1,598.20 69,309.42 P- 113- 1298 3543234323 1,514.32 65,671.78 P- 113- 1299 3543234323 1,514.32 65,671.78 P- 113- 1300 3543234323 9,976.50 432,652.61 P- 113- 1301 3543234323 1,874.67 81,29914 P- 113- 1045 3543234323 123,962.34 5,375,896.36 1'- 113- 1045 3543234323 29,230.81 1,267,657.62 P- 113- 1317 3543266111 27,829.77 1,240,241.10 P- 113- 1318 3543266111 3,040.84 135,515.84 P- 113- 1319 3543266111 32,750.68 1,459,542.77 P- 113- 1320 3543266111 3,001.34 133,755.52 P- 113- 1321 3543266111 23,137.98 1,031,15023 P- 113- 1322 3543266111 31,987.04 1,425,510.95 P- 113- 1323 3543266111 47,183.70 2,102,754.14

Invoice Client No.

John Hancock Life Insurance 6200 John Hancock Life Insurance 6201 John Hancock Life Insurance 6202 John Hancock Life Insurance 6203 John Hancock Life Insurance 6204 John Hancock Life Insurance 6205 John Hancock Life Insurance 6206 John Hancock Life Insurance 6207 John Hancock Life Insurance 6208 John Hancock Life Insurance 6209 John Hancock Life Insurance 6210 John Hancock Life Insurance 6211 John Hancock Life Insurance 6212 John Hancock 1 .ifc Insurance 6213 John I !an cock Life Insurance 6214 John Hancock Life Insurance 6215 John I [ancock Life Insurance 6216 John I-I an cock Life Insurance 6217 OR OR No.

Date 1431 9/30/2013 1432 9/30/2013 1433 9/30/2013 1434 9/30/2013 1435 9/30/2013 1436 9/30/2013 1437 9/30/2013 1438 9/30/201.)

1439 9/30/2013 1440 9/30/2013 1441 9/30/2013 1442 9/30/2013 1443 9/30/2013 1444 9/30/2013 1445 9/30/2013 1446 9/30/2013 1447 9/30/2013 1448 9/30/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP P- 113- 1324 3543266111 64,923.09 2,893,314.78 P- 113- 1370 3543266111 20,312.52 905,2.'\2.86 P- 113- 1325 3543266111 45,948.74 2,047,717.82 P- 113- 1326 3543266111 7,177.39 319,862.29 P- 113- 1327 3543266111 4,492.15 200,193.86 P- 113- 1328 3543266111 3,213.11 143,193.10 P- 113- 1329 3543266111 555.21 24,74308 P- 113- 1330 3543266111 1,383 00 61,633 76 P- 113- 1367 3543266111 333,538.11 14,864,214.59 P- 113- 1331 3543266111 33,020.24 1,471,555 78 P- 113- 1332 3543266111 32,123.51 1,431,592.77 P- 113- 1333 3543266111 9,241.05 411,829.85 P- 113- 1334 3543266111 2,730.00 121,663.18 P- 113- 1335 3543266111 15,015.00 669,147.47 P- 113- 1144 3543266111 16,230.33 723,308.97 P- 113- 1336 3543266111 39,711.16 1,769,738.41 P- 113- 1337 3543266111 18,799.77 837,816.75 P- 113- 1338 3543266111 17,554.57 782,324 08

Invoice Client No.

John I Iancock Life Insurance 6218 John Hancock Life Insurance 6219 John Hancock Life Insurance 6220 John Hancock Life Insurance 6222 John Hancock Life Insurance 6223 John llancock l.ifc Insurance 6230 John Hancock I .ifc Insurance 6232 :V1anulife Asset Ivhnagemcnt (Hong Kong) Company Limited 6235 John Hancock Life Insurance 6253 John Hancock Life Insurance 6263 John Han cock Life Insurance 6274 John Hancock Life Insurance 6275 John Hancock 1 .ife 1 nsurancc 6276 John Hancock Life Insurance 6277 John Hancock Life Insurance 6278 John Hancock Life Insurance 6279 John Hancock Life Insurance 6280 OR OR No.

Date 1449 9/30/2013 1450 9/30/2013 1451 9/30/2013 1453 9/30/2013 1454 9/30/2013 1461 9/30/2013 1463 9/30/2013 1466 9/26/2013 1484 9/30/2013 1494 9/30/2013 1505 9/30/2013 1506 9/30/2013 1507 9/30/2013 1508 9/30/2013 1509 9/30/2013 1510 9/30/2013 1511 9/30/2013 Bank Credit Ex h.

Memo No.

Reference In usn lnPHP P- 113- 1339 3543266111 9,122.52 406,547.53 P- 113- 1340 3543266111 8,025.00 357,636 26 P- 113· 1341 3543266111 8,065.91 359,45942 P- 113- 1342 3543266111 9,976.50 444,605.38 P- 113- 1343 3543266111 20,740.94 924,325.51 P- 113- 1371 3543266111 625.00 27,853.29 P- 113- 1372 3543266111 178.57 7,958.0?

P- 113- 1315 3543269129 3,152.82 140,506.26 P- 113- 1344 3543266111 14,153.90 630,772.31 P- 113- 1345 3543266111 763.07 34,00642 P- 113- 1347 3543266111 14,326.06 638,444 67 P- 113- 1.148 3543266111 20,808.31 927,327.87 P- 113- 1349 3543266111 9,372.02 417,666.57 P- 113- 1350 3543266111 23,062.21 1,027,773.52 P- 113- 1351 3543266111 16,932.70 754,610.28 P- 113- 1352 3543266111 55,811.79 2,487,2(,7.27 1'- 113- 1353 35432(,6111 4,556.01 203,039.80

Invoice Client No.

John Hancock Life Insurance 6281 John Hancock Life Insurance 6294 John Hancock Life Insurance 6295 John Hancock Life Insurance 6297 John I lancock J jfe Insurance 6298 John Hancock Life Insurance 6299 John Hancock Life Insurance 6306 John Hancock I .ifc Insurance 6318 John Hancock Life Insurance 6352 John Hancock Life Insurance 6356 John Hancock Life Insurance 6375 .John Hancock Life Insurance 6376 John I Iancock Life Insurance 6377 John Hancock Life Insurance 6378 John Hancock Life Insurance 6379 John !lancock L.ifc Insurance 6380 John Hancock Life Insurance 6381 .John I !an cock Life Insurance 6382 OR OR No.

Date 1512 9/30/2013 1525 9/30/2013 1526 9/30/2013 1528 9/30/2013 1529 9/30/2013 1530 9/30/2013 1537 9/30/2013 1549 11/4/2013 1583 11/4/2013 1587 11/4/2013 1606 11/4/2013 1607 11/4/2013 1608 11/4/2013 1609 11/4/2013 1610 11/4/2013 1611 11/4/2013 1612 11/4/2013 1613 11/4/2013 Bank Credit Ex h.

Memo No.

Reference InUSD InPHP P- 113- 1354 3543266111 1,874.67 83,545.17 P- 113- 1355 3543266111 9,509.70 423,802.31 P- 113- 1356 3543266111 5,470.16 243,779.14 P- 113- 1357 3543266111 1,464.36 65,259.59 P- 113- 1149 3543266111 1,387.47 61,832.97 P- 113- 1358 3543266111 1,38747 61,832.97 P- 113- 1127 3543266111 126,413.61 5,629,575.31 P- 113- 1419 3543308149 8,256.77 360,133.03 P- 113- 1420 3543308149 28,592.89 I ,24 7,127.39 P- 113- 1421 3543308149 76.93 3,35543 P- 113- 1423 3543308149 3,040.84 132,631.39 P- 113- 1424 3543308149 31,613.39 1,378,871.62 P- 113- 1425 3543308149 I, 125.50 49,090.59 P- 113- 1426 3543308149 21,39045 932,980.75 P- 113- 1476 3543308149 30,745.48 1,341,016.25 P- 113- 1427 3543308149 46,713.19 2,037,475.01 P- 113- 1428 3543308149 74,372.71 3,243,891.R8 P- 113- 1429 3543308149 20,244.27 882,988.17

—— - 4 TS Bank Credit Invoice | OR OR Exh. Memo Client | No. | No. | Date No. Reference In USD - In PHP p- John Hancock 113- Life Insurance | 6383 _{ 1614 | 11/4/2013 | 1430 [3543308149 _| 46,595.86 [ 2,032,357.46 | Pp.

ohn Hancock 113- Life Insurance | 6384 1615 | 11/4/2013 | 1431 3543308149 4 6,743.07 294,110.43 | nh: :

John Hancock Life Insurance 6385 11/4/2013 3543308149 4,491.67 195,911.80 P- John Flancock 113- | Life Insurance [6386 0 11/4/2013 | 1433 | 3543308149 2,856.17 | 124,576.70 p- John Hancock 113- | Life Insurance | 6387 _| 1618 | 11/4/2013 | 1434 {_3543308149 555.21 | 24,216.43 | p- John Hancock 113- | Life Insurance j__ 6388 _; 1619 | 11/4/2013 | 1435 eae | 1,383.00 60,321.89 P- John Hancock 113- ;

| Lafe Insurance 6389 j 1620 } 11/4/2013 | 1436 | 3543308149 I 354,737.43 15,472,474.65 P- John Hancock 113- ;

Life Insurance 6390 | 1621 411 1/4/2013 | 1437 | 3543308149 | 35,193.55 | 1,535,026.37 | P- John Hancock 113- Life Insurance | 6391 _| 1622 peeves 1438 | 3543308149 | 28,460.25 | 1,241,342.07 P- John Hancock 113- | Life Insurance | 6392 1623 11/4/2013 | 1439 3543308149 | 8,190.00 | 357,220.74 | P- John Hancock iz 113- Life Insurance 6393 | 1624 | 11/4/2013 | 1440 | 3543308149 1 2,730.00 119,073.38 | John Hancock 113- | Life Insurance 6394 | 1625 | 11/4/2013 _| 1441 | 3543308149 14,332.50 625,136.30 P- John Hancock 113- j : 3 1442 | 3543308149 15,296.29 667,173.63 | Life Insurance 6395 1626 | 11/4/2013 oe 29 | 5 | John Hancock 113- life Insurance| 6396 a 11/4/2013 |_ 1443 | 3543308149 | 45,044.95 | 1,964,71 1,89 | p- John Hancock 113- Life Insurance 6397 | 1628 | 11/4/2013 | 1444 | 3543308149 18,837.00 821,607.70 abies cer fea ars ut asgniy |_ageo} P- John Hancock 113- lufe Insurance 6398 | 1629 |_11/4/201 3 72 | 3543308149 _| 16,336.75 | 712,555.06 p- John [Hancock 113- Luife Insurance | 6399 or 1 1/4/2013 | 1446_| 3543308149 9,122.52 397,894.18 P- John Hancock 113- Life Insurance | 6400 =| 1631 | 11/4/2013 | 1447 | 3543308149 | 8,025.00 | 350,023.99 al

CTA CASE NO, 9126

Invoice Client No.

Bank Credit Exh. Memo No. Reference In USD In PHP P- 13- John Hancock 1 Life Insurance 6401 1632 | 11/4/2013 3543308149 2,321.72 101,265.76 | P- John Hancock 113- Life Insurance 11/4/2013 | 1449 3543308149 2,125.82 92,721.24 P- John Hancock 113- Life Insurance 11/4/2013 | 1450 3543308149 2,125.82 92,721.24 P- John Hancock 113- | Life Insurance 11/4/2013 3543308149 2,125.82 92,721.24 p- John Flancock 113- Life Insurance 6405 1636 | 11/4/2013 1452 3543308149 7,712.25 336,382.86 P- John Hancock 113- Life Insurance 11/4/2013 | 1453 3543308149 9,976.50 435,141.97 P- John Hancock 113- Life Insurance 6409 | 1640 | 11/4/2013 | 1454 3543308149 23,452.18 1,022,906.61 | P- John Hancock 113- Life Insurance 11/4/2013 ; 1457 3543308149 20,173.52 879,902.29 P- John Hancock 113- Life Insurance 11/4/2013 | 1458 3543308149 1,526.15 66,565.62 John Hancock Life Insurance 11/4/2013 | 1238 3543308149 6,651.00 290,094.65 P- John Hancock 113- Life Insurance 6460 | 1691 | 11/4/2013 3543308149 15,912.19 694,037.15 P- John Hancock Life Insurance 6461 11/4/2013 3543308149 21,857.42 953,348.44 John Hancock 113- Life Insurance 6462 1693 | 11/4/2013 1463 3543308149 9,372.02 408,776.55 | John Hancock Life Insurance 6463 1694 | 11/4/2013 3543308149 23,319.24 — 3543308149 | 17,588.10 | 767,134.81 54,618.00 2,382,256.70 John Hancock Life Insurance 6464 | 1695 | 11/4/2013 John Hancock | Life Insurance 11/4/2013 3543308149 John [Hancock Life Insurance 1697 | 11/4/2013 3543308149 4,556.01 198,718.10 p- John Hancock 113- Life Insurance 6467 | 1698 | 11/4/2013 | 1468 3543308149 1,874.67 81,766.91 la

| | Bank Credit | Invoice | OR OR Exh, Memo Client | No. No. Date No. Reference In USD In PHP

| P-

John Hancock 113- Life Insurance 6468 | 1699 | 11/4/2013 1469 3543308149 5,470.16 238,590.31 a 7 | John Hancock 113- | Life Insurance 6481 | 1712 | 11/4/2013 1470 3543308149 | 178.57 7,788.63 John Hancock 113- Life Insurance 11/4/2013 625.00 27,260.44 John Hancock Life Insurance 6482 | 1713 113- 11/4/2013 | 1244 3543308149 5,725,774.37 John Hancock

6491 1722

P- 113- 3543308149 | 131,274.83 L John Hancock 113-

1546 3543333164

Life Insurance 6533 | 1764 | 11/29/2013 | 1613 nat 30,083.76 1,299,121.66

P- |

John Hancock 113- Life Insurance 6537 | 1768 | 11/29/2013 | 1531 3543333164 244.43 10,555.34 P- John Hancock 113- Life Insurance 6558 | 1789 | 11/29/2013 | 1614 3543333164 30,025.14 1,296,590.24 | : pas John Hancock 113- Life Insurance 6559 | 1790 | 11/29/2013 | 1615 3543333164 21,263.44 918,229.48 | p- John Hancock Life Insurance John Hancock 1796 1795 | 11/29/2013 P- 11/29/2013 ssa3ss3164 | | Life Insurance 6560 | 1791 | 11/29/2013 30,267.74 1,307,066.56 | P- John Hancock 113- | Life Insurance 6561 1792 | 11/29/2013 | 1616 3543333164 77,332.76 3,339,498.24 | Pp- John }lancock 113- T.fe Insurance 6562 1793 | 11/29/2013 | 1617 3543333164 20,312.52 877,165.44 P- John Hancock 113- Lite Insurance 6563 1794 | 11/29/2013 | 1618 3543333164 46,338.67 2,001,065.35 p- John Hancock 113- Life Insurance 6564 1619 3543333164 45,542.90 1,966,701.23 1 300,804.08 6,965.72 | 113- | J ife Insurance 6566 {| 1797 | 11/29/2013 | 1621 3543333164 4,491.67 193,965.97 p- | John IHancock 113- Life Insurance 6567 | 1798 | 11/29/2013 | 1622 3543333164 | 2,852.76 | 123,192.12 | P- John Hancock 113- Life Insurance 1623 59,722.76 John I Tancock Life Insurance

6569 1800

6568 1799 | 11/29/2013 3543333164 11/29/2013 3543333164 1,383.00 { 361,432.09 | 15,607,897.96 ZY

Invoice Client No.

John Hancock I .ife Insurance 6570 John Hancock Life Insurance 6571 John Hancock Life Insurance 6572 John Hancock I .ife Insurance 6573 John I lancock Life Insurance 6574 John Hancock Life In,;urance 6575 John Hancock Life Insurance 6576 John Hancock Life Insurance 6577 John Hancock I .ife Insurance 6578 John !-lancock Life In11urance 6579 John Hancock Life Insurance 6580 John Hancock l.ife Insurance 6581 I ohn Hancock I .ife Insurance 6582 John Hancock Life Insurance 6583 John I Iancock I .ifc Insurance 6584 John I Iancock Life Insurance 6585 John l lancock Life Insurance 6588 John Hancock I .ife Insurance 6589 OR OR No.

Date 1801 11/29/2013 1802 11/29/2013 1803 11/29/2013 1804 11/29/2013 1805 11/29/2013 1806 11/29/2013 1807 11/29/2013 1808 11/29/2013 1809 11/29/2013 1810 11/29/2013 1811 11/29/2013 1812 11/29/2013 1813 11/29/2013 1814 11/29/2013 1815 11/29/2013 1816 11/29/2013 1819 11/29/2013 1820 11/29/2013 Bank Credit Exh.

Memo No.

Reference In USD In PHP P- 113- 1665 3543333164 36,948.24 1,595,553.84 P- 113- 1666 3543333164 30,521.25 1,318,014.00 P- 113- 1625 3543333164 8,190.00 353,(>72.76 P- 113- 1626 3543333164 2,730.00 117,890.92 P- 113- 1627 3543333164 14,777.61 638,148.73 P- 113- 1547 3543333164 15,048.92 649,864 84 1'- 113- 1548 3543333164 40,933.60 1,767,655.58 P- 113- 1628 3543333164 21,424.57 925,187.M 1'- 113- 1629 3543333164 16,323.73 704,915.58 P- 113- 1630 3543333164 9,122.52 393,942.22 P- 113- 1631 3543333164 8,025.00 346,54748 P- 113- 1632 3543333164 4,041.99 174,5+7 22 1'- 113- 1633 3543333164 2,260.50 97,(> 16.27 P- 113- 1634 3543333164 1,655.67 71,497.(,() P- 113- 1635 3543333164 2,260.50 97,616.27 P- 113- 1636 3543333164 7,655.87 330,607.16 P- 113- 1671 3543333164 9,976.50 430,820.06 P- 113- 1672 3543333164 23,502.06 1 ,014, 9110.90

John tlancock | Bank Credit Invoice Memo Client No. Reference In USD In PHP John Flancock Life Insurance 6614 3543333164 21,194.00 915,230.83 John Hancock Life Insurance 6622 1853 3543333164 1,526.15 ee John Hancock 113- 1639 6,651.00 287,213.37 | Life Insurance 6628 | 1859 | 11/29/2013 | 1866 | 11/29/2013 3543333164 John Hancock 113- Life Insurance 6635 1641 3543333164 15,495.69 669,157.93 P- John Hancock 113- Life Insurance 6636 1867 | 11/29/2013 | 1642 3543333164 22,822.37 985,549.52 P- Jobn Hancock 113- Life Insurance 6637 1868 ; 11/29/2013 | 1643 | 3543333164 9,725.31 419,972.79 p- John Hancock 113- Life Insurance 1869 | 11/29/2013 | 1644 3543333164 23,319.24 1,007,006.10

P- |

John Hancock L Life Insurance }-———— ---- 6677 1908 — Insurance 6639 1870 | 11/29/2013 | 1645 3543333164 17,614.55 760,657.69 John Hancock | 113- Life Insurance 6640 1871 |} 11/29/2013 | 1646 3543333164 59,678.06 2,577,106.73 p- John Hancock 113- life Insurance 6641 1872 | 11/29/2013 | 1647 3543333164 4,146.74 179,070.69 | p- John Hancock 113- Life Insurance 6642 | 1873 | 11/29/2013 | 1648 3543333164 1,538.18 | 66,423.98 P- John Hancock 113- Life Insurance 6643 1874 | 11/29/2013 | 1649 3543333164 10,514.93 454,071.34 P- John Hancock 113- Life Insurance 6644 1875 | 11/29/2013 | 1650 3543333164 5,470.16 236,220.58 P- John Flancock 113- Life Insurance 11/29/2013 | 1651 3543333164 89.29 3,855.85 { p- John Hancock 113- Life Insurance 6653 1884 | 11/29/2013 | 1667 3543333164 66.27 2,861.77 P- John Hancock 113- ].afe Insurance 6654 11/29/2013 3543333164 347.28 14,996.76 | 5,729,788.90 —t—__— 11/29/2013 | 1563

GRAND TOTAL

| _ Subtotal 3543333164 132,684.72 $12,262,306.94 | Php517, 768,410.45 | $12,301,527.29 | Php519,458,005.83 Vad

It can be noted that bulk of the disallowances was due to the fact that the Court is unable to trace the sales invoice amount to the corresponding amount per bank credit memos. Even after cumulating all the invoices in CY 2013 with the same bank credit memo reference, the aggregate amount of these invoices does not reconcile with the corresponding bank credit memo. Majority of the discrepancies show that the amount per bank credit memo is higher than the total of the invoices. Further, petitioner did not provide any reconciliation to explain the noted discrepancies nor any schedule to show the breakdown of invoices which comprise a particular bank credit memo reference. As such, the Court cannot ascertain whether or not these inward remittances actually correspond to the same zero-rated sales reported in CY 2013. Considering the foregoing, out of petitioner's Php754,517,467.03 reported zero-rated sales to qualified non-resident foreign client, only the amount of Php83,298,123.63 represents petitioner's valid zero-rated sales, as computed below:

Sales from qualified zero-rating clients per SLS Php754,517,467.03 Less:

Exceptions noted by the ICP A Php151,761,337.64 Exceptions noted by the Court Php519,458,005.83 671,219,343.47 Allowed zero-rated sales for CY 2013 Php83,298,123.56 Input taxes were incurred or paid.

In its Quarterly VAT Returns72 for the four quarters of CY 2013, petitioner reflected a total amount ofPhp63,188,333.66 input VAT arising from its amortization of input VAT on purchases of capital goods exceeding Php1Million, domestic purchases of capital goods not exceeding Php1Million, domestic purchases of goods other than capital goods, and domestic purchases of services, detailed as follows: Exhibit P-6 P-8-c P-9 P-11 CY2013 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Total Input tax on domestic purchases of capital goods exceeding PJM:

purchases of capital goods exceeding PIM —— Exhibit P-6 P-8-c p-9 P-11 CY2013 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Total 4 Input tax on domestic Php4,826,265.68 Php8,.952,264.77 | Add: Input tax deferred on capital goods exceeding P1M from previous quarter Php2,893,859.52 | 19,898,300.57 20,367,604.16 Php - Php1,232,139.57 18,314,966.07 17,807,398.86 —— 76,388,269.66 | t Less: Input tax on domesnc purchases of capital goods exceeding PIM deferred to succeeding _period 20,367 604.16 18,314,966.07 17,807,398.86 | 20,814,364.07 77,304,333.16 input lax on domestic purchases of capital goods exceeding P1M Amortized portion of Input tax on current purchases:

Input tax on domestic purchases of capital goods not — Php 2,424,553.93 \ Php 2,052,638.09 | Php 1,739,706.78 | Php 1,819,300.47 | Php 8,036,201.27 + putchases of goods other than capital goods 273,725.74 450,924.98 exceeding P1M Php 832,297.19 Php 326,908.13 Php 178,643.96 | Php 223,319.00 | Phpt,561,168.28 Input tax on domestic 1,190,770.47 Input tax on domestic purchases of services 185,709.42 B,653,045.88 8,408,272.78 15,960,114.54 280,410.33 | 19,378,760.44 52,400,193.64 Total current input tan Php 9,671 O52A9 Php 9,013,591.24 Ph Total input VAT credits Php12,095,608.42 Php11,068,229.33 Php18,152,191.02 16,412,484.24 Php20,053,004.42 | Php35,152,132.39 Php21,872,304.89 Php63,188,333.66 In support of its input VAT claim, petitioner submitted suppliers’ sales invoices (ST) and official receipts,’? which were likewise examined by the Court- commissioned ICPA.

The following shows the summary of the ICP.A’s examination of the supporting documents as compared to the amounts declared in the Quarterly VAT Returns:

73 Exhibits “P-115-1” to “P-115-684” and “P-116-1” to “P-116-79".

vale

ICPA Report" Annex Amount Accounted by Amount per Reference ICPA VAT Returns Unaccounted Input lax on mrrenl domestic purchases of Annex 6 Php 2,751,938.74 Php 2,751,938.75 Php (0.01) goods Input tax on current domestic purchases of Annex 7 52,400,193.64 52,400,193.64 ~ Jemzte.r /lmorti::;.ation of· input taxeJ on domeJtic purchase.r ofcapital,~ood.r e.·weeding PI M hom 2013 purchases Annexes 8 799,149.38 and 13-1 f'rom 2012 purchases Annexes 9 2,935,738.11 and 13-2 Annexes Prom 2011 purchases 10 and 13- 730,028.30 3 Annexes f'rom 2010 purchases 11 and 13- 746,331.32 4 Annexes From 2009 purchases 12 and 13- 1,511,603.54 5 From 2008 purchases Annex 13- 1,304,249.33 6 Total amortization qf input taxe.r 8,027,099.98 8,036,201.27 (9,101.29)_ Total input taxes Php63,179,232.36 Php63,188,333.66 Php(9,101.30) The unaccounted amount of Php9,101.30 as computed above shall be disallowed instantaneously. Pursuant to the examination performed by the ICP A, the following exceptions in the aggregate amount ofPhp21,397,963.48, as detailed below, was noted, hence, should be disallowed for not being properly substantiated by VAT invoices or official receipts as prescribed under Sections 110(A) and 113(A) and (B) and 237 and 238 of the NIRC of 1997, as amended, in relation to Sections 4.110-1, 4.110-8 and 4.113-1 of RR No. 16-05, as amended, to wit: ICPA Description Report Amount Annex Reference Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported 6-3 Php 264.00 by registered invoices not dated within the quarter but within the period of claim without Petitioner's TIN

Description Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices not dated within the quarter but within the period of claim with no BIR authority to print Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices without Petitioner's TIN Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices but Petitioner's name is altered with countersignature Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices of which amount of Vi\ T is not shown separately Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices of which amount of VAT is not shown SCJ2aratclv and without Petitioner's TIN Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices without BIR authority to print Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by other documents such as statement of account, collection receipt, miscellaneous account charge Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported by registered invoices not dated within the period of claim Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million supported bv _[Jhotocopied invoices Input tax claimed on purchase of goods other than capital goods and capital goods not exceeding 1 million with no supporting documents Input tax claimed on purchase of services supported by VAT registered official receipts not dated within the quarter but within the period of claim and VAT not shown separately Input tax claimed on purchase of services supported by VAT registered official receipts not dated within the quarter but within the period of claim and without Petitioner's TIN ICPA Report Amount Annex Reference 6-15 15,909.51 6-4 6-16 149,635.98 6-28 6-37 6-38 3,579.48 6-5 6-17 54,443.27 6-29 6-39 6-18 4,250.68 6-40 6-6 6-19 221,114.41 6-30 6-41 6-7 6-20 53,720.25 6-31 6-42 6-8 109,679.96 6-21 6-32 112,579.40 6-43 6-9 6-22 155,103.26 6-44 7-5 7-28 159,240.88 7-6 7-29 3,311,405.55

CfA CASE NO. 9126

Description Input tax claimed on purchase of services supported by VAT registered official receipts of which amount of VAT not shown separately Input tax claimed on purchase of services supported by V,\T registered official receipts of which amount of VAT not shown separately and without Petitioner's TIN Input tax claimed on purchase of services supported by V "\ T registered official receipts of which amount of VAT not shown separately and without Petitioner's TIN and incomplete address Input tax claimed on purchase of services supported by VAT registered official receipts with incomplete Petitioner's name (e.g. Manulife) Input tax claimed on purchase of services supported by Vli.T registered official receipts without Petitioner's TIN Input tax claimed on purchase of services supported by Vi\ T registered official receipts without BIR authority to print Input tax claimed on purchase of services supported by TIN NON VAT official receipts Input tax claimed on purchase of services supported by NON VXl' REG TIN official receipts Input tax claimed on purchase of services supported by other documents such as statement of account, collection receipt, miscellaneous charge Input tax claimed on purchase of services supported by photocopied VAT registered official receipts Input tax claimed on purchase of services supported by VAT registered official receipts not dated within the period of claim Input tax claimed on purchase of services with no supporting documents Input tax claimed on purchase of capital goods exceeding 1 million supported by registered invoices not dated within the quarter but within the period of claim and amount of VAT not shown separately Input tax claimed on purchase of capital goods exceeding 1 million supported by registered invoices of which amount of v xr not shown separately ICPA Report Amount Annex Reference 7-7 7-19 4,867,187.37 7-30 7-42 7-8 7-20 6,973,288.13 7-31 7-43 7-44 123,590.85 7-9 10,330.61 7-10 7-21 1,200,931.87 7-32 7-45 7-33 234,001.76 7-46 7-34 4,275.00 7-47 2,159.43 7-11 7-22 637,563.11 7-35 7-48 7-36 48,620.10 7-49 7-12 7-37 29,403.68 7-50 7-13 7-23 2,192,687.63 7-38 7-51 8-8 1,517.46 8-9 650.34 Description Input tax claimed on purchase of capital goods exceeding 1 million supported by registered invoices without BIR authoritv to print Input tax claimed on purchase of capital goods exceeding 1 million supported by photocopied invoices Input tax claimed on purchase of capital goods exceeding 1 million supported by no vat registration invoices and official receipts Input tax claimed on purchase of capital goods exceeding 1 million without supporting documents Input tax claimed on purchase of capital goods exceeding 1 million supported by VAT REG TIN invoice with comment of "not a valid source of input tax" Total exceptions noted by the !CPA !CPA Report Amount Annex Reference 8-10 4,048.03 8-11 5,705.36 9-3 44,753.08 9-8 57,275.92 9-10 272,074.89 12-2 35,736.35 12-6 51,683.91 12-9 205,526.18 10-6 44,025.79 Php21,397 ,963.48 In addition, input VAT in the amount of Php5,336,333. 94 should likewise be disallowed for failure to comply with the substantiation requirements under the afore-mentioned VAT law and regulations:

INPUT VAT FROM CURRENT PURCHASES

!CPA Report" Exhibit Invoice/ Annex No.

Supplier OR No.

Date Input VAT Reference Documents not found in records 0.HXICARE P-115-

HEALTH CARE

7-16 and 684 CORP 0180203 7/8/2013 Php 70,116.58 7-24 Domestic purchase ofJ?Oods supported by VAT invoice but the amount of VAT is not separately indicated P-115-

V-JON TRADING

624 1NTL 1581 8/27/2013 182.14 G-36 Do1nestic purchase of goods supported by VAT invoice but petitioner's address is not indicated P-115- MERCURY 6-25 and 425

DRUG CORP

27315288 7/17/2013 1,630 82 6-33 ASSOCIATION

OF MOUTH AND

rooT P-115- l'i\!NTING 613 ARTIST 0118 12/4/2013 1,050.00 (J-35 1'-115- MERCURY 620

DRUG CORP

27323034 11/26/2013 10,457.68 6-35 P-115- MERCURY 218

DRUG CORP

27314037 3/1/2013 561.29 6-13

CTA CASE NO, 9126

P-115- | MERCURY

218 DRUG CORP 27314038 3/1/2013 304,55 6-13

P-115- | MERCURY

218 DRUG CORP 27314039 3/1/2013 327.46 6-13 MERCURY 218 DRUG CORP 27314040 3/1/2013 236.14 6-13 a ee ee 14,567.94 Domestic purchase of goods supported by VAT invoice but petitioner's TIN is not indicated P-115- 335 CARE 18ST CORP | oos33 | saya) | 361.61 6-12 GATEWAY

P-115- | NETWORK

340 SOLUTIONS INC 5/29/2013 5,400.00 421 & CARD CORP 10051 7/17/2013 198.49 6-25 | 484 VENDING CORP 131771 9/9/2013 6,428.57 6-25 GATEWAY

P-115- | NETWORK

556 SOLUTIONS INC 7208 11/11/2013 5,400.00 6-35

P-115- | FYRELYN

221 INDUSTRIES 3222 3/26/2013 28,056.96 6-13 Subrotal 45,845.63 Domestic purchase of services supported by VAT OR but the amount of VAT is not separately indicated

GOOD IDEA

MEDIA

P-115- | ADVERTISING

296 AGENCY 0332 6/18/2013 8,571.43 6-11

GOOD IDEA

MEDIA |

P-115- | ADVERTISING i 297 AGENCY 0409 7/24/2013 8,571.43 ALL VISUAT.

P-115- | AND LIGHTS

354 SYSTEMS CORP 9/5/2013 3,214.29 6-25

ACCENT MICRO

P-115- | TECIINOLOGIES

355 INC 0042 8/29/2013 264.00 6-25 P-115- | QUALIPRINT 6-25 and 414 INC 0004 8/14/2013 390.00 6-33

LOURDES C |

AND SONS

P-115- | REALTY DEVT

75 CORP 305944 2/21/2013 8,115.64 7-1

LOURDES C |

AND SONS

P-115- | REALTY DEVT

76 CORP 305943 2/21/2013 8,115.64 7-1

ISS FACILITY

P-115- | SERVICES PHILS

193 INC 34006 5/8/2013 45,611.85

ISS FACILIVY

P-115- | SERVICES PHILS

INC 43129 7/31/2013 44,959.34 7-25 |

LAI'S CATERING

P-115- 25 P-115- 33 1'-115- 39 1'-115- 73 1'-115- 74 P-115- 72 1'-115- 362 P-II5- 389 1' -115- 404 P-I15- -\01 1'-115- 588 1'-115- 589 1'-115- 153 1'-115- 148 1'-115- 311 P-115- 318 P-115- 449 P-115- 459

EAGLEWATCH SECURITY SERVICES

ISS FACILI'JY

SERVICES !'HILS INC ISS l'ACILITY SERVICES !'HILS INC EAGLE\VAfCH SECURITY SERVICES

PUNT/\ DE

FABIAN RESORT

INC EAGJ.EWATCH SECURI'IY SERVICES

3 SIXTY

ELECTRICAL SERVICES RENTOKIL

INITIAL (PHIL)

INC DELCO

TELECOMS INC

1 'ELEDA'L\COM

!'HILS INC

MEGA WORLD

CORP

ALI PROPERTY

PAR'JNERS CORP ISS h\CILJTY SERVICES !'HILS INC EAGLEWATCH SECURITY SERVICES TELEDATACOM !'HILS INC FP PI IlLS INC HUM1\N

CAPITAL ASIA

INC RENTOKIL

INITIAL (PHIL)

INC 17205 1/30/2013 58243 2/7/2013 58242 2/7/2013 17276 3/6/2013 1333 2/26/2013 17309 2/21/2013 0005 9/12/2013 209554 7/24/2013 52255 8/2/2013 6288 8/8/2013 978?52 12/27/2013 0512 12/27/2013 43126 4/4/2013 17362 4/5/2013 6230 7/11/2013 0077 7/3/2013 2576 10/3/2013 212267 10/3/2013 Subtotal Domestic Purchase of services supported bv VAT OR but the date is unreadable

MAXI CARE

1-IEAI.THCARE 1'-115-3 CORP 0162097 nil 727.21 22,881.28 21,547.73 941.47 4,821.43 1,385.59 428.57 1,285.7I 5,965.07 11,000.95 1,087,776.00 68,851.88 21,625.73 1,059.73 10,897.33 61l,(J86.75 11,616.00 3,642.86 1,481,240. 62 31,999.27 Domestic purchase of services supported bv VAT OR but is dated outside the period of claim

UPS DELBROS

P-115- INTI. EXPRESS 602 J:!D INC.

239758 1/16/2014 257.12 7-2 7-2 7-2 7-2 7-2 7-2 7-26 7-26 7-26 7-2(,

7--\ I

7-4I 7-3 7-4 I 7-18 7-18 I 7-27 7-27 7-2 and 7- 14 7-41

Domestic purchase of services supported by VAT OR but is dated outside the period of claim and the amount of VAT is not separately indicated P-115- TELEDATJ\COM 601

PHILS INC

15031 1/3/2014 10,275.12 7-41 Domestic purchase of services supported by VAT OR but is marked as "not valid for claimit?_g ji!I!_ut taxes" P-115- MI-BELLORE 57(, CORP 0617 11/27/2013 3,085.71 7-411 Domestic purchase of services supported by VAT OR but petitioner's address is not indicated l'-115- 522 MER,\LCO 321638 10/19/2013 4,232.14 7-41 Domestic purchase of services supported by VAT OR but petitioner's address is not indicated and the amount of VAT is not separately indicated P-115- CLUB BALi\ I 150

ISABEL INC

25918 4/15/2013 203,718.75 7-2 P-115-

CLUB BALAI

7-2 and 151

ISABEL INC

24727 3/17/2013 203,718.75 7-14 EAGLEWATCH P-115- SECURITY 162 SERVICES 17452 4/13/2013 1,024.09 7-16 Subtotal 408,461.59 DomesticElJrchase of services supported by VAT OR butpetitioner's TIN and address is not indicated P-115-

ANSCOR CASTO

309

TRAVEL CORP

038380 6/27/2013 51.55 7-16 1'-115-

'J 'ELENETWORK

323

MEDIA CORP

1786 6/21/2013 12,000.00 7-J(,

TRENDS AND

1'-115- TECHNOLOGIES 657 INC 24388 7/4/2013 30,160.71 7-1H Subtotal 42,212.26 Domestic purchase of services supported by VAT OR but petitioner's TIN and address is not indicated and the amount of VAT is not separately indicated MICRODj\TA SYSTEMS& l'-115- MANAGEMENT 294 INC 45552 7/18/2013 3,750.00 6-12

ISS FACILITY

P-115-

SERVICES PHILS

28 INC 43124 1/30/2013 19,385.58 7-1 ISS Fi\CILITY P-115- SERVICES !'HILS K2 INC 43125 2/20/2013 20,357..19 7-1

ISS FACILITY

1'-115- SERVICES PI IlLS 286 INC 43128 6/5/2013 43,570.71 7-15 1'-115- I IJ\tvU JN- 324

ITURALDE CORP

10123 6/28/2013 2,035.72 7-16 CEN1RO P-115-

SPECIALIST CO

357 L1D 9648 9/2/2013 2,112.86 7-26 1'-115- TOMPDEG 6(,8 FARM 1671 8/18/2013 9,771.43 7-2(, P-115- 530

RONEENA INC

16866 10/11/2013 7,200.00 7-41 Subtotal 108,183.69 Domestic purchase of services supported by VAT OR but petitioner's TIN is not indicated and the amount of VAT is not separately indicated l'-115- 397 P-115- 186 P-115- 189 P-115- 185 1'-115- 277 P-115- 358 l!Ul\1AN Ci\PITAJ. i\SIA INC EAGLEWATCH SECURITY SERVICES

CLUB BALAI

ISABEL INC

E>\GLEWATCH SECURITY SERVICES EAGLEWATCH SECURITY SERVICES CENTRO

SPECIALIST CO

LTD 2362 8/7/2013 17397 5/4/2013 22276 5/24/2013 17396 5/4/2013 17823 5/30/2013 6750 9/28/2013 Subtotal Domesticpurchase of services supported by VAT OR but petitioner's TIN is not indicated !lUMAN P-115-

CAPITAL ASIA

268 INC 2315 6/4/2013

PUNT£\ DE

P-115- F,\BL>\N RESORT 372 INC 1435 8/30/2013 Subtotal 15.576.00 7-25 480.00 7-16 18,000 00 7-16 4,472.80 7-16 4.791.80 7-16 14,817.86 7-2(, 58,138.46 6,534.00 7-15 11,250.00 7-26 17,784.00 Domestic purchase of goods supported by VAT invoice but is issued to Manulife Financial altered to petitioner's na1ne but the authority of the countersigner cannot be ascertained P-115- AUTOMATIC 609 APPLIANCE INC.

025825 12/5/2013 17,035.71 6-34 Domestic purchase of I(Oods supported by VAT invoice but petitioner's address and TIN is not indicated P-115- M,".COL Y!"ES 467 INC:

11621 8/22/2013 267.86 6-25 Domestic purchase of goods supported by VAT invoice but petitioner's TIN is manually added with countersignature but the authority of the countersiJ!Iler cannot be ascertained CARTIUDGE P-115- WORLD 465

LIFES'JYLE INC

9624 9/2/2013 675.00 6-25 Double claimed input VAT P-11.1- ARIV.-\ EVENTS 254 /\!GMT 6767 5/27/2013 1,138.56 7-16 Domestic purchase of_g<Jods su]>p<Jrted by_ VAT invoice butpetitioner's TIN is not indicated P-115- PHILIPPINE 210

VENDING CORP

123766 4/5/2013 6,962.09 (J-12 Over claimed input VAT ,\CCENT MICRO l'-11 5- '!T.!CHNOLOGIES 1% INC 148279 4/23/2013 _l)_er Schedule 502.47 per invoice/OR 12.21 490.26 6-12 MAXIC.-\RE

P-11 5-

HEALTH CARE

160 CORP 171842 4/25/2013 per Schedule 8,226.39 per invoice/OR 4,269.93 3,956.46 7-24 1'-115- 444 FMRCORP 012763 9/19/?013 per Schedule 9,042.86 t/ I i I I P-115- :l74 P-115- 518

FMRCORP PMRCORP 012616 9/11/2013 012873 10/24/2013

TOTAL INPUT VAT FROM CURRENT PURCHASES

per invoice/OR 8,639.15 403.71 7-39 per Schedule 2,700.00 per invoice/OR 2,579.00 121.00 7-39 per Schedule 14,528.57 per invoice/OR 13,879.98 648.59 7-41 Subtotal 5,620.02 Php2,328,281.51 AMORTIZED INPUT VAT FROM PURCHASES OF CAPITAL GOODS EXCEEDING PlM !CPA 2013 Input Report76 Exhibit Invoice/ Total VAT Annex No.

Supplier OR No.

Date Input VAT Amortization Reference Domestic purchase of capital f!Oods exceedinf! P1M but copy of VAT invoice is incomplete P-116-

JEBSEN AND

Php 79

JESSEN PH

3085004516 3/9/2009 123,950.07 24,790.01 12-1 P-116- B1\RRINGTON 42

C\RPETS INC

9340 9/22/2009 253,827.00 50,765AO 12-7 HOFPSMAN 1'-116- SYSTE~L\TIC 50

DESIGNS INC

6656 9/14/2009 136,773.00 27,354.60 12-8 Subtotal 102,910.01 Domestic purchase of capitalizable services exceeding P1M but copy of VAT OR is incomJ>!ete P-11(>- 'J'ELEDAT,'\COM 53 PI IlLS INC 4279 11/4/2009 130,408.13 26,081.63 12-H Documents not found in records or does not match the desiJ!Ilated evidence markinfj, P-115- TOTAL 61

VENTURES INC

3089 7/10/2013 1,065,905.19 106,590.52 8-4

ACCENT MICRO

TECJINOI.OGIES nil INC 109654 3/24/2010 139,641.09 27,928.22 11-4

ACCENT MICRO

TECJJNOI.OGIES nil INC 109652 3/24/2010 314,362.44 78,590.61 11-4 B1\RRINGTON nil

CARPETS INC

9264 7/22/2009 203,061.60 40,(>12.32 12-4

TRENDS AND

nil TECHNOLOGIES 29094 9/1/2009 433,673.67 86,734.73 12-4 IBMS TECHNOLOGY nil PI IlLS CORP 1901 7/23/2009 157,500.00 31,500.00 12-4 Subtotal 371,956.40 Domestic purchase of capital goods and capitalizable services exceeding P1M where the service/labor portion of the billinJ! is supported by VAT OR but the amount of VAT is not separately indicated 1'-116-4 BARRINGTON

CARPETS INC

13415 8/23/2012 76 Exhibit "P-111", Docket, Vol. 4, pp. 1617 to 1673 77 21,772.80 Amount of labor_!!_er invoices as receipted in OR No. 13415 (gross of VAl}_ 101891 (Exh. P-116-4) 101890 (Exh. P-116-5) 9-5 and 4,354.5617 13-2 Php101 606.40 101 606.40

ITA CASE NO. 9126

Domestic purchase of capitalizable services exceeding P1M supported by VAT OR but petitioner's address is not indicated P-116- TOTAL 19

VENTURES INC

3051 6/27/2012 2,052,000.00 410,400.00 9-4 Domestic purchase of capitalizable services exceeding P1M supported by VAT OR but petitioner's TIN is not indicated P-116- TOTAL

II & 12

VENTURES INC

3041 12/21/2012 2,291,431.12 458,286.22 9-9 P-116-

RDTJR ASSOC

?"

_J INC 1240 7/21/2011 272,029.60 54,405.92 10-7 Subtotal 512,692.14 Domestic purchase of capitalizable services exceedinf( P1M supported by VAT invoice P-116- TELEDATACOM 26 PI IlLS INC 3579 4/14/2011 508,355.27 101,671.05 lll-4 P-116- TELED1\ T,\COM 31

PHILS INC

3538 3/29/2011 137,990.12 27,598.02 10-9 P-116- TELEDATACOM 39

PHILS INC

3256 10/29/2010 413,105.19 82,621.04 IJ-(, 1'-116- TOTAL 51

VENTURES INC

1316 12/2/2009 307,836.43 61,567.23 12-8 Subtotal 273,457.34 Domestic purchase of capitalizable services exceeding P1M supported by VAT OR but the amount of VAT is not separately indicated P-116-

GOUDIE ASSOC

62 tvL\NIL,\ Ll'D CO 2348 10/23/2013 39,020.47 1,951.02 2008 Domestic purchases of capital goods exceeding P1M without supporting documents 1,304,249.33

TOTAL AMORTIZED INPUT VAT FROM PURCHASES OF CAPITAL

GOODS EXCEEDING PlM Php3,008,052.43

TOTAL INPUT VAT DISALLOWED BY THE COURT

Php5,336,333. 94 In sum, out of petitioner's declared input VAT ofPhp63,188,333.66, only the amount of Php36,444,934.94 represents substantiated and valid input VAT. Applying the valid input VAT to the total output VAT of Php2,707,414.85 for C:Y 2013, only the excess ofPhp33,737,520.09 remains to be available for refund. These amounts are computed as follows: Input VAT reported in Quarterly VAT Returns Php 63,188,333.66 f ,ess: Disallowances Unaccounted input VAT Php 9,101.30 Exc~ions noted bv the ICPA 21,397,963.48 Exceptions noted by the Court Php5,336,333.94 26,743,398.72 Pro]J_erly_ substantiated input VAT Php36,444,934.94 8-5 13-6 Pho203.212.80 Multiply by:

12%/112% VAT component Php21 772.80 Divide by: Months amortized 60 Multiply by: No. of months amortized in 2013 12 2013 In~ut VAT amortization Php4,354.56

CfA CASE NO. 9126

Less: Total output VAT for CY 201378 1st Quarter Php 47,711.46 2nd Quarter 610,479.85 3rd Quarter 712,780.27 4th Quarter 1,336,443.27 2,707,414.85 Excess input VAT available for refund Php33, 737,520.09 Petitioner's input taxes were attributable to its zero-rated sales and were not applied to any output tax liability.

The above-computed excess input VAT amounting to Php33,737,520.09 is thus attributable to zero-rated sales. Consequendy, petitioner's duly substantiated excess input VAT attributable to the declared valid zero-rated sales of Php83,298,123.56 amounts only to Php1,305,567.11, computed as follows: Excess input VAT available for refund Php33,737,520.09 Multiply by ratio of valid zero-rated sales over total sales:

Valid zero-rated sales Php 83,298,123.56 Divide by total zero-rated sales per VAT returns Php2, 152,529,797.4 7 3.87''/o Input VAT allowed for refund Php1,305,567.11 Moreover, although the claimed input VAT was carried over by petitioner in its succeeding Quarterly VAT Returns,79 the same remained unutilized until it was deducted as "VAT Refund/TCC Claimed" in its Quarterly VAT Return for the 1 ~·quarter of CY 2015. 80 Therefore, the subject claim no longer formed part of the excess input VAT of Php80,430,008.8281 as of the end of the 1" quarter of CY 2015 that was to be carried over/ applied to the succeeding quarters. ,\s such, it eliminates the possibility that the present claim would be applied to future output VAT liability.

WHEREFORE, premises considered, the instant Petition for Review is hereby PARTIALLY GRANTED. Accordingly, respondent is ORDERED TO REFUND OR TO ISSUE A TAX CREDIT CERTIFICATE in favor of petitioner in the amount of Php1,305,567.11 representing petitioner's unutilized input VAT attributable to its zero-rated sales for the four quarters oJ calendar year 2013.

I' ,

CfA CASE NO. 9126

I CONCUR:

(iN;.. ~ ..--1- <..

MA. BELEN M. RINGPIS-LIBAN Associate Justice ATTESTATION I attest that the conclusions in the above decision were reached in consultation before the case was assigned to the writer of the opinion of the Court.

CERTIFICATION ' SJociate Justice ding Chairperson Pursuant to Article VIII, Section 13 of the Constitution, and the Division Acting Chairperson's Attestation, it is hereby certified that the conclusions in the above Decision were reached in consultation before the case was assigned to the writer of the opinion of the Court. Presiding Justice