BIR Ruling

January 24, 1974 7th Indorsement Returned to the Regional Director, Revenue Region No. 17, Cagayan de Oro City, the within docket bearing on the internal revenue case of Mr. Pompeyo Factura, owner of the Valencia Caltex Station at Valencia, Bukidnon who was apprehended sometime on November 8, 1973 by the Philippine Constabulary stationed at Malaybalay, Bukidnon for failure to issue sales invoices to the various customers who bought diesel fuel oil and gasoline from his gasoline station in violation of Section 204 of the Tax Code. casia It appears that his failure to issue the corresponding receipts was due to the numerous consumers who flocked to his gasoline station for diesel fuel oil and gasoline and that instead of issuing individual receipts, only a listing of all the consumers was made. During the investigation conducted in the P. C. Headquarters, the taxpayer also alleges that he had no intention not to issue receipts, but he planned to issue them after he had already served his customers. It appears also that said taxpayer is now being detained at the P.C. Headquarters in Malaybalay, Bukidnon and that he is now seeking to compromise his case for violating Section 204 of the Tax Code relative to the non-issuance of invoices or receipts. Section 204 of the Tax Code also provides that the Commissioner of Internal Revenue may, in meritorious cases, exempt any person from compliance with the provisions of this section. In the light of the foregoing circumstances, this Office considers this case a meritorious case, in the sense that on this particular date when the taxpayer was serving gasoline and oil to numerous customers, he may not issue a receipt covering each sale. However, since the taxpayer has offered to compromise his case, the interest of the Government is better served by the acceptance of said offer instead of totally absolving him of any liability for violation of Section 204 of the Tax Code. acd In view thereof, this Office hereby accepts the offer of Mr. Pompeyo Factura to pay the sum of P1,000.00 as compromise in complete settlement of his penal liability for violating Section 204 of the Tax Code, pursuant to Section 309 of the same Code. Very truly yours, MISAEL P. VERA Commissioner of Internal Revenue TAN-1601-593-5