Case Digest (G.R. No. L-20462)
Facts:
Caltex (Philippines) Inc. v. Commissioner of Internal Revenue, G.R. No. L-20462. June 30, 1965, the Supreme Court En Banc, Reyes, J.B.L., writing for the Court.Caltex (Philippines) Inc. (petitioner) is a domestic corporation holding a petroleum refining concession under Republic Act No. 387 and engaged in refining, storage, handling and distribution of petroleum products. In 1958–1959 it imported various items of machinery, equipment, accessories and spare parts for use in its depots, installations and gasoline service stations. The Collector of Customs of Manila levied and collected the special import tax imposed by Republic Act No. 1394 on those importations; that tax was included in the landed cost of the merchandise for purposes of computing the compensating tax under Section 190 of the National Internal Revenue Code. Caltex paid the special import tax and the compensating tax so computed.
Caltex filed protests with the Collector of Customs of Manila against the imposition of the special import tax. The earliest liquidation of these importations occurred on November 13, 1958. Caltex later filed claims for refund of the allegedly overpaid compensating tax with the Commissioner of Internal Revenue on April 28, 1960 and November 4, 1960, but received no action. To protect itself from the two-year prescriptive period in Section 306 of the National Internal Revenue Code, Caltex filed a petition for review in the Court of Tax Appeals (CTA) on November 9, 1960, seeking refund of P6,110.00 (later amended to P5,781.68) as excess compensating taxes.
The Commissioner of Internal Revenue answered, denying material allegations, but did not present evidence. Caltex introduced proof of its protests before the Collector of Customs and the dates of liquidation and refund claims. The CTA dismissed the petition without prejudice on the ground that the controversy involved the Collector and Commissioner of Customs and that no ruling by the cust...(Subscriber-Only)
Issues:
- Is the special import tax imposed by Republic Act No. 1394 an internal revenue tax subject to refund claims before the Commissioner of Internal Revenue, or is it a customs tax within the jurisdiction of the Bureau of Customs?
- Was the petition for review in the Court of Tax Appeals prematurely filed (and therefore properly dismissed) because there was no prior decision or ruling by the customs authorities from w...(Subscriber-Only)
Ruling:
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Ratio:
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Doctrine:
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