Filipinas Investment And Finance Corporation v. Revenue

J.B.L., J.:

This is an appeal by petitioner from a resolution of the Court of Tax Appeals, in its CTA Case No. 1450, dismissing its petition for review filed in said court, on the ground that the same was filed beyond the 30-day period prescribed in Section 11 of Republic Act No. 1125. The facts of this case are: Respondent Commissioner of Internal Revenue, through the Director of Regional District No. 3, issued a letter dated April 18, 1961, to petitioner Filipinas Investment & Finance Corporation, assessing against the latter the sum of P5,007.00 as advance sales tax on an automobile which it purchased from a tax-exempt individual, plus P300.00 as compromise penalty, or a total of P5,307.00. (Exhs.

1, A. CTA rec., P. 62). Believing itself not liable therefor, petitioner, through counsel, disputed the above assessment in a letter dated May 15, 1961, and requested that the same be cancelled and/or withdrawn. (Exhs.

3, B, CTA rec., pp. 64-65). Meanwhile, BIR Assistant Regional Director Toledo followed up said assessment with a demand letter dated June 21, 1961 (Exhs., 2, C, CTA rec., p. 66), to which petitioner replied, calling the former's attention to its letter of May 15, 1961 which contested the assessment and has not yet been acted upon.

(Exhs. 3-A, D, CTA rec., p. 68).

Respondent Commissioner denied petitioner's request for cancellation and/or withdrawal of the assessment in a letter dated August 17, 1962, which was sent to petitioner. (Exhs. 4, E, CTA rec., pp. 71-72).

The record does not, however, show when petitioner received this letter of denial; but, in a letter dated September 28, 1962 , which respondent Commissioner received on October 1, 1962, petitioner reiterated its request that the said assessment be cancelled and/or withdrawn (Exhs. 8, F, CTA rec., p. 79).

In the meantime, the BIR record of petitioner was transmitted, on September 24, 1962, to its Collection Branch for collection by summary remedies (Exh. 5, CTA rec., p. 73); and pursuant thereto, Regional Director Tagle sent directly to petitioner (not to its counsel) another demand letter dated September 25, 1962, enclosing therewith a copy of the letter of denial of August 17, 1962.

(Exhs. 6, F-1, CTA rec., p. 74).

On October 18, 1962, petitioner answered the above-mentioned letter, making reference to its counsel's letter of September 28, 1962. (Exhs. 7, F-2, CTA rec., p.

75). On January 23, 1963, petitioner, through its counsel, further moved to reconsider the denial of its original request for cancellation and/or withdrawal of the assessment. (Exhs.

8-A, G, CTA rec., p. 80). On July 22, 1963, respondent Commissioner again denied petitioner's requests (of September 28, 1962 and January 28, 1963) for reconsideration of the assessment (Exhs.

9, H, CTA rec., pp. 82-83), which letter of denial, petitioner received on August 12, 1963. On September 11, 1963, petitioner filed its petition for review in the Tax Court, disputing the legality of the imposition of advance sales tax on the purchase and subsequent sale of the same automobile. On November 29, 1963, respondent Commissioner presented, on the strength of the above-stated facts, a motion to dismiss said petition, on the ground that the Tax Court acquired to jurisdiction over the subject matter since the same was filed beyond the 30-day period fixed in Section 11 of Republic Act No. 1125.

1äwphï1.ñët Petitioner opposed said motion. On January 25, 1954, the Tax Court conducted a preliminary hearing on respondent's motion to dismiss; and thereafter, the parties submitted their respective memoranda.

On August 8, 1964, the Tax Court, after finding that petitioner consumed thirty-three (33) days in filing its petition for review from the date of receipt of respondent Commissioner's ruling on the disputed assessment, computed as follows: From September 28, 1962, deemed date of receipt of decision to October 1, 1962, filing of request for reconsideration . . .

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. . 3 days From August 12, 1963, date of receipt of denial of request for reconsideration to September 11, 1963, filing of the petition for review .

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30 days T o t a l . . .

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