Showing posts with label People v. Rebecca Tiotangco CRIM-080. Show all posts
Showing posts with label People v. Rebecca Tiotangco CRIM-080. Show all posts

People v. Rebecca Tiotangco

 

People v. Rebecca Tiotangco

CRIM-080

February 3, 2022

Doctrine:

While we agree that assessment is not necessary before the civil liability of respondent may be imposed, it is still incumbent upon petitioner to provide competent evidence on which the amount of such civil liability may be based.

Facts:

Respondent was charged with violations of Section 2559 of the National Internal Revenue Code (NIRC) of 1997, as amended, for her failure to supply correct and accurate information in her Quarterly Value-Added Tax (VAT) Returns for the third (3rd) and fourth (4th) quarters of taxable year (TY) 2008 and the first (1st) and second (2nd) quarters of TY 2010.

Issue:

Whether or not assessment is necessary before the civil liability of respondent may be imposed.

Held: 

No. Section 222(a) of the NIRC of 1997, as amended, provides: SEC. 222. Exceptions as to Period of Limitation of Assessment and Collection ofTaxes.- (a) In the case of a false or fraudulent return with intent to evade tax or of failure to file a return, the tax may be assessed, or a proceeding in court for the collection of such tax may be filed without assessment, at any time within ten (w) years after the discovery of the falsity, fraud or omission: Provided, That in a fraud assessment which has become final and executory, the fact of fraud shall be judicially taken cognizance of in the civil or criminal action for the collection thereof' From the foregoing, it is clear that a proceeding in court for the collection of tax may be filed without an assessment in case of a false return.

As found by the First Division in the assailed Decision, petitioner was able to prove, beyond reasonable doubt, that respondent committed three (3) counts of violation of Section 25542 of the NIRC of 1997, as amended, for her failure to supply correct and accurate information in the VAT returns for the 3'd and 4th quarters of TY 2008 and 2nd quarter of TY 2010. As such, the above-quoted Section 222(a) of the NIRC of 1997, as amended, applies as a result of the filing of false returns; therefore, it is not necessary that an assessment be issued in order to hold respondent civilly liable for her deficiency taxes. Nevertheless, while we agree that assessment is not necessary before the civil liability of respondent may be imposed, it is still incumbent upon petitioner to provide competent evidence on which the amount of such civil liability may be based [insofar as the aforementioned three (3) taxable periods are concerned].