IV.

Remedies of the Taxpayer

I. Protesting an assessment
II. Recovery of tax erroneously or illegally paid
a. Proper party to file claim for refund
i.
b. Period to recover: 2 years from
c. Income tax 1701: quarterly return
i. 1st quarter – erroneous payment
ii. Count not on Apr 15, but on final return
iii. If final return not needed, count from date of
filing and payment
Tax 1:
 filing of return, annual
 if Self-employed, quarterly
DST is transactional: Execute deed of sale today, on or
before 5th day of following month DST
Depending on tax type, start counting two years
VAT – 112 VAT refund rules applies only for excess input
tax scenario; zero-rated transactions (for export
competitiveness which incurred input tax)
TRAIN made it 90d in cash: mawawala indirect zero-rating
Supplies to exporter should pass on VAT
Exporter gets claim for refund
PEZA
Customs: security v. non-security area
Zone inside/out of Philippines
d. designated export zones
e. supplier to exporter in the zone: direct export, zero-rated
f. exporter not in the zone: no incentives, exporting 100%
g. cross-border doctrine—not anymore local sale if
transaction from within and without the zone
h. not included: PEZA- and BOI-registered
112: exporters not in the zone but are zero-rated cannot use up
input taxes, so sila yung marerefund
III. 229: erroneous payment
112: VAT
Remedies of the taxpayer

If it is an erroneous VAT, it’s 229

e.g. 1000 / 1500 /

VAT protocol 1st month, 2nd month, 3rd month quarterly
Error in second month self-corrects on 3rd month
File erroneous payment by 3rd month
Only in VAT: timeline for processing refund
112 amended--BIR has 90 and not 120 days to process refund
VAT under TRAIN—always pay VAT taxpayer a cash refund and no
tax credit certificate
Suppliers (to lessen exposure to VAT) of service or goods to an
export-oriented entity, your transactions may be zero-rated
If nothing to pass on, nothing to refund
CTA
Ra 1125 mended by RA 9282
New law expanded CTA jdn, elevated to CA
3 branches, 3 justices = 9
1. Alimpolos
2. Lacson
3. Macatiag
4. Pajarito
5. Tan
6. Raymundo
7. Conejero
8. Resultan
9. Cachapero
10. Manalo
11. Anonuevo
12. Entena
13. Tamano
14. Bolinao
15. Resultan
16. Abary
17. Ang