Tax Credit Certificate of Maricalum Mining May be Used to Offset Its Tax Liabilities

August 26, 1993 BIR RULING NO. 359-93 TAX CREDIT CERTIFICATE OF MARICALUM MINING MAY BE USED TO OFFSET ITS TAX LIABILITIES 229 000-00 359-93 King, Capuchino, Tan & Associates 2nd Floor, Belman II Bldg. Quezon Ave. corner Cordillera St. Quezon City Attention: Atty . Bayani L . Chua This refers to your letter dated July 6, 1993 requesting that Tax Credit Certificate bearing Serial Numbers 001876 and 001877 in the respective amounts of P602,244.37 and P1,234,526.85 issued by this Office in favor of your client, Maricalum Mining Corporation (MMC) be applied to the other tax liabilities of MMC specifically its excise tax liability which will fall due on July 20, 1993 and not to deficiency assessments involving the amounts of P7,756,577.81, P868,425.77, P3,900,339.77 and P3,692,644.58 under Assessment Notice Nos. FAS-1-88-93-000574, 1-89-93-00575, 1-88-92-000561 and 1-88-92-000562 on the ground that said deficiency assessments are not yet final since the same are being contested and/or protested by MMC. cdtech In reply thereto, please be informed that your request is hereby granted. Pursuant to Section 229 of the Tax Code, as amended. An assessment may be protested administratively by filing a request for reconsideration or reinvestigation within thirty (30) days from receipt of the assessment; otherwise, the assessment shall become final and unappealable. If the protest is denied in whole or in part, the individual, association or corporation adversely affected by the decision on the protest may appeal to the Court of Tax Appeals within thirty (30) days from receipt of the said decision; otherwise, the decision shall become final, executory and demandable. Since your protest on the aforementioned deficiency assessments was timely filed, i.e., within the thirty (30) day period from your receipt of the assessments, the assessments have not as yet become final, executory and demandable. Such being the case, and while the said Tax Credit Certificates bear the notation that the same shall be applied first in (partial) payment of the deficiency assessments involving the amounts of P7,756,577.81, P868,425.77, P3,900,339.77 and P3,692,644.58 under Assessment Notice Nos. FAS 1-88-92-000574, 1-89-92-000575, 1-88-92-000561 and 1-88-92-000562, nevertheless, such assessments have been protested and therefore, not yet final, executory, and demandable. Accordingly, said Tax Credit Certificates bearing Serial Numbers 001876 and 001877 in the respective amounts of P602,244.37 and P1,234,526.85 can be applied by MMC to the payment of its other tax liabilities like excise taxes due from it this July, or subsequent period. LIWAYWAY VINZONS-CHATO Commissioner of Internal Revenue