THE COURT of Tax Appeals (CTA) has voided a 2013 assessment notice issued by officials of the Bureau of Internal Revenue (BIR) against canning firm Del Monte Philippines Inc.
In an 18-page decision by Presiding Justice Roman G. Del Rosario released to media Wednesday, the CTA’s First Division granted the petition for review and cancelled the BIR’s assessment notice assessing Del Monte of surcharge, interest and compromise penalty in the amount of PHP6.796 million for the late payment of withholding tax on compensation return.
Associate Justices Esperanza R. Fabon-Victorino and Catherine T. Manahan concurred.
The tax court, in its July 15 ruling, explained that “(R)espondent (BIR) failed to observe the due process requirements when it issued the Audit Results/Assessment Notice (RPS), sans (the) LOA (Letter of Authority) and PAN (Pre-Assessment Notice)”.
“This wanton disregard of petitioner’s rights to due process rendered the Audit Results/Assessment Notice void, fruitless and without any legal significance,” the tax court said.(By Benjamin Pulta)
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