Republic Of The Philippines v. Court Of Appeals

PADILLA, J.:

This is a petition for review on certiorari of the decision of the respondent Court of Appeals1 in CA G.R. No. 37417-R, dated 3 April 1974, reversing the decision of the then Court of First Instance of Manila which ordered private respondent Nielson & Co., Inc. to pay the Government the amount of P11,496.00 as ad valorem tax, occupation fees, additional residence tax and 25% surcharge for late payment, for the years 1949 to 1952, and costs of suit, and of the resolution of the respondent Court, dated 31 May 1974, denying petitioner's motion for reconsideration of said decision of 3 April 1974. In a demand letter, dated 16 July 1955 (Exhibit A), the Commissioner of Internal Revenue assessed private respondent deficiency taxes for the years 1949 to 1952, totalling P14,449.00, computed as follows: 1-1/2% ad valorem tax on P448,000.00.......................... P7,320.00 25% surcharge for late payment......................................

1,830.00 Occupation fees for the years 1949 to 1952 at P1.00 per ha. per year on 1, 230 hectares..................................... 4,920.00 Additional residence tax on P79,000.00 at P1.00 per every P5,000.00 per year or P75.00 x 4 years................................

303.20 25% surcharge for late payment......................................... 75.00 TOTAL AMOUNT DUE............................