MANILA : The Court of Tax Appeals (CTA) has upheld its earlier ruling in favor of the operator of a popular fast food chain and granted a refund of PHP18.438 million.
The CTA en banc affirmed the August 2020 decision of the Third Division, which canceled the deficiency assessment for 2009 against Jollibee Worldwide Pte. Ltd worth P18.48 million representing supposed erroneous collection.
The sum includes PHP11.59 million in income taxes, withholding tax on compensation and expanded withholding tax, as well as PHP6.89 million in interests for 2009.
“(T)he warrant of distraint and/or levy issued by the Commissioner of Internal Revenue (CIR) on March 18, 2015 is null and void. Likewise, the amount of PHP18,438,928 garnished by petitioner (Bureau of Internal Revenue) from Jollibee’s bank account was not legally due to the government. Hence, the refund is in order,” read the CTA ruling released Monday.
The court said Jollibee was denied due process when the CIR did not follow the mandated 15-day period to allow the firm to respond to the assessment notice.
The decision was deemed final and unappealable since the CIR filed its appeal out of time.
Source: Philippines News Agency
