The Court of Tax Appeals (CTA) ruled in favor of a local manufacturer of coconut water product, partially granting its petition for tax refund.
In a decision, the CTA Second Division partially granted the petition for review filed by Axelum Resources Corporation.
The company was granted a reduced refund of PHP12.819 million out of the PHP34.253 million it sought.
The sum petitioned by the firm represented excess unutilized input value-added taxes which were partly denied through a value-added tax (VAT) refund notice in 2018.
The Bureau of Internal Revenue initially ruled to grant only PHP2.768 million in refund.
The firm argued that its claim for tax refund should be granted because all the elements necessary for the granting of the tax refund claim are present.
Axelum argued it has sufficiently established and proven all the requirements before a taxpayer engaged in zero-rated transactions may apply for tax refund or issuance of tax credit certificate for unutilized input VAT, an argument that the CTA concurred with.
Source: Philippines News Agency
