BIR Ruling [DA-296-98]

July 2, 1998 BIR RULING [DA-296-98] Lina Holdings Oleochemicals, Inc. 15th Floor Citibank Tower, Citibank Plaza 8741 Paseo de Roxas, Makati City Attention: Mr. Ramon M. Cordova, Jr. President & CEO Gentlemen : This refers to your letter dated March 31, 1998 requesting for a reasonable extension of time to file your Corporate Stock DST Declaration and DST Return (BIR Form No. 2000) and to pay the taxes thereon. It appears that you have a pending application for tax credit/refund of value-added tax paid on export and you are arranging for payment of DST by means of offsetting the taxes due with the credits on export; and that you are still in the process of securing the tax credit certificate to be able to avail of the tax credits. In reply, please be informed that your aforestated reason does not appear to be a valid ground to justify the extension of time within which to file your BIR Form No. 2000. Until and after the amount you are claiming as input taxes attributable to goods exported has been finally determined to be legally due and a tax credit issued therefor, no automatic offsetting of the amount being claimed as input tax against your DST liability can be allowed. This has been the constant stand of this Office on the matter. Moreover, your letter-request for extension of time to file BIR Form No. 2000 was received in this Office only on April 3, 1998 or after the period of extension granted under Revenue Memorandum Order No. 25-98 had expired on March 31, 1998. Incidentally, our records do not show that your first letter-request for extension dated March 11, 1998 which coincide with the issuance of Revenue memorandum Order No. 25-98, was received in this Office. Thus, granting your request for another extension of time would be unfair to other taxpayers. DHTCaI Very truly yours, (SGD.) LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue