BJ Well Services Co. (Philippines), Inc. v. Commissioner of Internal Revenue

THIRD DIVISION [C.T.A. CASE NO. 8859. February 8, 2017.] BJ WELL SERVICES COMPANY (PHILIPPINES),INC. , petitioner , vs. COMMISSIONER OF INTERNAL REVENUE , respondent . DECISION RINGPIS-LIBAN , J p : This is a Petition for Review filed by BJ Well Services Company (Philippines),Inc. involving a claim for refund or issuance of tax credit certificate in the aggregate amount of P7,332,514.81, allegedly representing unutilized input value-added tax (VAT) arising from its domestic purchases of goods and services and importation of goods (other than capital goods) attributable to its zero-rated transactions for the second (2nd),(3rd),and fourth (4th) quarters of taxable year 2012. THE FACTS Petitioner BJ Well Services Company (Philippines),Inc. is a corporation organized and existing under the laws of the Philippines, with principal office address at 803 One Corporate Center, Meralco corner Julia Vargas, Ortigas Centre, Pasig City. 1 Petitioner was duly registered with the Securities and Exchange Commission on January 6, 2009. It is primarily engaged in the business of rendering services and supplying equipment, chemicals, tools, products and processes to geothermal and oil exploration or drilling companies or in relation to geothermal and oil exploration or drilling projects, and to do all acts necessary, implied or incidental for the accomplishment of these purposes. 2 Petitioner is also registered with the Bureau of Internal Revenue (BIR) as a VAT taxpayer, with Taxpayer Identification Number (TIN) 007-203-649-000 and BIR Certificate of Registration No. OCN3RC0000600055. 3 On the other hand, respondent is the duly appointed Commissioner of Internal Revenue (CIR),empowered, among others, to act upon and approve claims for refund or tax credit. He holds office at the 5th Floor, BIR National Office Building, Agham Road, Diliman, Quezon City. CAIHTE On November 26, 2013, petitioner filed with the BIR Revenue District Office (RDO) No. 43A an administrative claim for refund or issuance of tax credit certificate for its alleged unutilized input VAT for the period covering May 1, 2012 to December 31, 2012 in the aggregate amount of P7,332,514.81. 4 On March 11, 2014, petitioner received from RDO No. 43A a copy of the Letter of Authority (LA) No. eLA 201100068170 dated February 20, 2014, authorizing Revenue Officer Benedict Bacani and Group Supervisor Alfredo M. Santos to conduct an examination on the administrative claim for refund of petitioner. On even date, petitioner also received from RDO No. 43A a checklist of documentary requirements necessary for the examination of petitioner's claim. 5 On March 12, 2014, petitioner submitted its last supporting documents to RDO No. 43A. 6 Respondent failed to rule on petitioner's application for issuance of tax credit certificate or refund of input VAT for 2nd to 4th quarters of 2012. 7 As a result, petitioner filed the instant Petition for Review on August 8, 2014. Respondent filed an Answer 8 on September 26, 2014, praying that the instant Petition for Review be dismissed for failure of petitioner to substantiate its claim for refund of its alleged excess and unutilized input taxes for the 2nd, 3rd and 4th quarters of taxable year 2012 and raising the following defenses: xxx the taxpayer has the burden of proof in proving his claim involving claims for refund and should be able to present the foregoing documents stated therein. The burden of proof is on the taxpayer to establish its right to refund, and failure to sustain the burden is fatal to the claim for refund; Petitioner must prove that its export sale qualified as VAT zero-rated pursuant to Section 106(A)(2)(a)(1) of the NIRC of 1997, as amended; Petitioner must prove that it complied with the invoicing requirements provided in Section 113 of the NIRC of 1997, as amended; Petitioner must also prove that it complied with the provisions of Section 4.110-8 of Revenue Regulations No. 16-05, as amended, as to the substantiation of Input Tax Credits; Lastly, Petitioner must comply with the requirements provided under Revenue Memorandum Order No. 53-98; Well-established is the rule that tax refunds/tax credits are construed strictly against the taxpayer as they partake the nature of tax exemptions. The pre-trial conference was initially set on November 6, 2014, 9 but upon respondent's motion, was reset to February 5, 2015. 10 Respondent's Pre-Trial Brief 11 was filed on October 13, 2014; while petitioner's Pre-Trial Brief 12 was filed on October 31, 2014. The parties submitted their Joint Stipulation of Facts and Issues 13 on February 16, 2015. Thereafter, the Court issued a Pre-Trial Order 14 on March 4, 2015. On March 23, 2015, upon motion of petitioner, this Court commissioned Ms. Mary Ann C. Capuchino, partner of SyCip Gorres Velayo & Co.,as Independent Certified Public Accountant (CPA) for the case. 15 During trial, petitioner presented Ms. Hanalei T. Joyas, 16 petitioner's Tax Specialist and Ms. Mary Ann C. Capuchino, 17 the Independent CPA. Petitioner formally offered its documentary evidence 18 on June 2, 2015, which were all admitted by this Court, except for Exhibits "P-3-16","P-3-17","P-4-3","P-4-4","P-4-5","P-4-6",and "P-50",in the Resolutions 19 dated August 6, 2015 and October 28, 2015. On the other hand, during the hearing held on February 1, 2016, respondent's counsel manifested that no report of investigation was submitted, hence, she will no longer present evidence for respondent. 20 The case was declared submitted for decision on March 8, 2016, considering petitioner's Memorandum 21 and respondent's Memorandum, 22 both filed on March 1, 2016. 23 THE ISSUES The parties submitted the following issues 24 for this Court's resolution: 1. Whether petitioner has complied with the procedural requirements for this Court to take cognizance of this Petition for Review; and 2. Whether petitioner is entitled to claim the unutilized input VAT attributable to its zero-rated sales to Energy Development Corporation (EDC) and the Maibarara Geothermal, Inc. (Maibarara). THE RULING OF THE COURT Petitioner argues that it is entitled to a refund of its unutilized input taxes attributable to its zero-rated sales pursuant to Section 112 (A) in relation to Sections 106 (A) (2) (c) and 108 (B) (3) of the National Internal Revenue Code (NIRC) of 1997, as amended. Pertinent provisions state as follows: SEC. 112. Refunds or Tax Credits of Input Tax. (A) Zero-rated or Effectively Zero-rated Sales. Any VAT-registered person, whose sales are zero-rated or effectively zero-rated may, within two (2) years after the close of the taxable quarter when the sales were made, apply for the issuance of a tax credit certificate or refund of creditable input tax due or paid attributable to such sales, except transitional input tax, to the extent that such input tax has not been applied against output tax: Provided, however ,That in the case of zero-rated sales under Section 106(A)(2)(a)(1),(2) and (b) and Section 108(B)(1) and (2),the acceptable foreign currency exchange proceeds thereof had been duly accounted for in accordance with the rules and regulations of the Bangko Sentral ng Pilipinas (BSP): Provided, further ,That where the taxpayer is engaged in zero-rated or effectively zero-rated sale and also in taxable or exempt sale of goods of properties or services, and the amount of creditable input tax due or paid cannot be directly and entirely attributed to any one of the transactions, it shall be allocated proportionately on the basis of the volume of sales: Provided, finally ,That for a person making sales that are zero-rated under Section 108(B)(6),the input taxes shall be allocated ratably between his zero-rated and non-zero-rated sales. DETACa SEC. 106. Value-Added Tax on Sale of Goods or Properties. (A) Rate and Base of Tax. xxx xxx xxx xxx (2) The following sales by VAT-registered persons shall be subject to zero percent (0%) rate: xxx xxx xxx (c) Sales to persons or entities whose exemption under special laws or international agreements to which the Philippines is a signatory effectively subjects such sales to zero rate. SEC. 108. Value-Added Tax on Sale of Services and Use or Lease of Properties. xxx xxx xxx (B) Transactions Subject to Zero Percent (0%) Rate. The following services performed in the Philippines by VAT-registered persons shall be subject to zero percent (0%) rate: xxx xxx xxx (3) Services rendered to persons or entities whose exemption under special laws or international agreements to which the Philippines is a signatory effectively subjects the supply of such services to zero percent (0%) rate; To claim refund or tax credit of unutilized input taxes based on Section 112 (A) of the NIRC of 1997, as amended, the following requisites must be complied with: 1. the claimant must be a VAT-registered person; 2. there must be zero-rated or effectively zero-rated sales; 3. input taxes were incurred or paid; 4. such input taxes are attributable to zero-rated or effectively zero-rated sales; 5. said input taxes were not applied against any output VAT liability; and 6. the administrative and judicial claims for refund were seasonably filed. Sixth Requisite: Petitioner's administrative and judicial claims were seasonably filed The instant claim for refund covers the 2nd to 4th taxable quarters of the year 2012, thus, the 2-year prescriptive period for filing of the corresponding administrative claim for refund pursuant to Section 112 (A) of the NIRC of 1997, as amended, are as follows: 2-Year End of Taxable Prescriptive Period Quarter Period 2nd Qtr. 6/30/2012 6/30/2014 3rd Qtr. 9/30/2012 9/30/2014 4th Qtr. 12/31/2012 12/31/2014 Hence, the administrative claim for refund, specifically covering the periods from May 1, 2012 to December 31, 2012, was seasonably filed by petitioner on November 26, 2013. 25 Corollary thereto, Section 112 (C) of the NIRC of 1997, as amended, provides for the period within which respondent must act on the administrative claim and the corresponding remedy of the taxpayer in case of the former's denial or inaction on the claim, to wit: SEC. 112. Refunds or Tax Credits of Input Tax. xxx xxx xxx (C) Period within which Refund or Tax Credit of Input Taxes shall be Made. In proper cases, the Commissioner shall grant a refund or issue the tax credit certificate for creditable input taxes within one hundred twenty (120) days from the date of submission of complete documents in support of the application filed in accordance with Subsection (A) hereof. In case of full or partial denial of the claim for tax refund or tax credit, or the failure on the part of the Commissioner to act on the application within the period prescribed above, the taxpayer affected may, within thirty (30) days from the receipt of the decision denying the claim or after the expiration of the one hundred twenty day-period, appeal the decision or the unacted claim with the Court of Tax Appeals. (Emphasis supplied) Petitioner made its last submission of supporting documents on March 12, 2014 and was received by Group Supervisor Alfredo M. Santos of Revenue District Office No. 43A. 26 aDSIHc Applying the afore-mentioned provision, respondent had 120 days from March 12, 2014 to act on the administrative claim for refund or until July 10, 2014. However, respondent failed to act on petitioner's claim. Consequently, the latter had 30 days from July 10, 2014 to appeal such inaction before this Court, or until August 9, 2014. Hence, the instant petition, filed on August 8, 2014, was filed within the reglementary period provided by law. First Requisite: Petitioner is a VAT-Registered Entity Petitioner is registered with the BIR as a VAT taxpayer in accordance with Section 236 of the Tax Code with TIN 007-203-649-000. 27 Second Requisite: Petitioner had zero-rated sales Based on Sections 106 (A) (2) (c) and 108 (B) (3) of the NIRC of 1997, as amended, quoted earlier, sales of goods/properties or services rendered to persons or entities whose exemption under special laws or international agreements to which the Philippines is a signatory effectively subjects the supply of such goods/properties or services to zero percent (0%) rate. The same was reiterated in Sections 4.106-5 (c) and 4.108-5 (b) (3) of Revenue Regulations (RR) No. 16-05, as amended by RR No. 04-07. The special law applicable in petitioner's case is Republic Act (RA) No. 9513 or the Renewable Energy Act of 2008, which was approved on December 16, 2008. Among the incentives provided under the law is that all renewable energy (RE) Developers are entitled to zero-rated VAT on their purchases of local supply of goods, properties and services needed for the development, construction and installation of their plant facilities. Chapter VII, Section 15 (g) of the law provides: CHAPTER VII GENERAL INCENTIVES SECTION 15. Incentives for Renewable Energy Projects and Activities. RE Developers of renewable energy facilities, including hybrid systems, in proportion to and to the extent of the RE component, for both power and non-power applications, as duly certified by the DOE, in consultation with the BOI, shall be entitled to the following incentives: xxx xxx xxx (g) Zero Percent Value-Added Tax Rate. The sale of fuel or power generated from renewable sources of energy such as, but not limited to, biomass, solar, wind, hydropower, geothermal, ocean energy and other emerging energy sources using technologies such as fuel cells and hydrogen fuels, shall be subject to zero percent (0%) value-added tax (VAT), pursuant to the National Internal Revenue Code (NIRC) of 1997, as amended by Republic Act No. 9337. All RE Developers shall be entitled to zero-rated value added tax on its purchases of local supply of goods, properties and services needed for the development, construction and installation of its plant facilities. This provision shall also apply to the whole process of exploring and developing renewable energy sources up to its conversion into power, including but not limited to, the services performed by subcontractors and/or contractors. (Emphasis and underscoring supplied) The same is implemented by Part III, Rule 5, Section 13 (G) (b) of DOE Circular No. DC2009-05-0008 issued by the Department of Energy (DOE) on May 25, 2009, which provides as follows: PART III. Incentives for Renewable Energy Projects and Activities RULE 5. General Incentives and Privileges for Renewable Energy Development SEC. 13. Fiscal Incentives for Renewable Energy Projects and Activities. DOE-certified existing and new RE Developers of RE facilities, including Hybrid Systems, in proportion to and to the extent of the RE component, for both Power and Non-Power Applications, shall be entitled to the following incentives: xxx xxx xxx G. Zero Percent Value Added Tax Rate The following transactions/activities shall be subject to zero percent (0%) value-added tax (VAT), pursuant to the National Internal Revenue Code (NIRC) of 1997, as amended by Republic Act No. 9337: xxx xxx xxx (b) Purchase of local goods, properties and services needed for the development, construction, and installation of the plant facilities of RE Developers; and (c) Whole process of exploration and development of RE sources up to its conversion into power, including, but not limited to, the services performed by subcontractors and/or contractors. (Emphasis supplied) Chapter VII, Section 25 of RA No. 9513, as implemented by Part VII, Rule 13, Section 39 of DOE Circular No. DC2009-05-008, further provides that RE Developers and local manufacturers, fabricators and suppliers of locally-produced renewable energy equipment shall register with the DOE, through the Renewable Energy Management Bureau. Upon registration, a certification shall be issued to each RE Developer and local manufacturer, fabricator and supplier of locally-produced renewable energy equipment to serve as the basis of its entitlement to incentives provided under Chapter VII of RA No. 9513. Clearly, from the foregoing, to qualify fox VAT zero-rating as contemplated in RA No. 9513 and DOE Circular No. DC2009-05-008, petitioner must prove by sufficient evidence that: 1. it is engaged in the sale of goods and services to RE Developers; and 2. the goods and services sold (a) are needed for the development, construction, and installation of the RE Developers' plant facilities; or (b) pertain to the whole process of exploration and development of RE sources up to its conversion into power. But as far as the supply of locally-produced renewable energy equipment is concerned, petitioner must additionally show that it is also registered with the DOE, in order to qualify the sale of said equipment to VAT zero-rating. Among petitioner's clients during taxable year 2012 were RE Developers of geothermal energy resources, namely, EDC and Maibarara, which are registered with the DOE, hence, are entitled to the incentives granted under RA No. 9513, as evidenced by the following: DOE Certificate of Date of Issuance Exhibit Registration No. Nos. Energy Development Corporation: 1) Tongonan, Leyte GRESC 2009-10-001 October 23, 2009 P-8-1 2) Palinpinon, Negros Occidental GRESC 2009-10-002 October 23, 2009 P-8-3 3) Bacon-Manito, Sorsogon/Albay GRESC 2009-10-003 October 23, 2009 P-8-5 4) Kidapawan City, North Cotabato GRESC 2009-10-003 October 23, 2009 P-8-7 Maibarara Geothermal Incorporated GRESC 2011-01-025 January 05, 2011 P-9-1 As such, all their purchases of goods and services from petitioner which are needed for the development, construction, and installation of plant facilities and those pertaining to the whole process of exploration and development of RE sources up to its conversion into power are entitled to VAT zero-rating, with the exception of locally produced RE equipment purchases from the latter, if any, since petitioner failed to show that it is registered with the DOE. In its amended Quarterly VAT Returns for taxable year 2012, petitioner reported a total amount of P226,139,207.38 zero-rated sales from May 1 to December 31, 2012, broken down as follows: Period Zero-Rated Sales 2nd Qtr. 28 P83,484,198.55 Less: April 2012 29 - May to June 2012 83,484,198.55 3rd Qtr. 30 91,297,017.06 4th Qtr. 31 51,357,991.77 TOTAL P226,139,207.38 ============= Petitioner presented its Schedule of Zero-Rated Sales 32 with the related invoices 33 and official receipts, 34 which were examined by the Court-commissioned Independent CPA, Ms. Mary Ann C. Capuchino. TIADCc A perusal of the Independent CPA Report 35 shows that out of the reported zero-rated sales of P226,139,207.38, the amount of P49,935,076.29 must be disallowed for the reasons stated hereunder: ICPA Report Reference Findings Amount (Exh. "P-16") Sale of goods supported by original VAT invoice stamped as zero-rated sales but there is an amount of VAT presented in the VAT invoice P2,123,364.18 Annex K 36 Sale of goods supported by original VAT invoices stamped as zero-rated sales but dated outside the period of claim 44,251,776.56 Annex L 37 Sale of service supported by original VAT OR stamped as zero-rated sales but dated outside period of claim 3,386,921.17 Annex M 38 Sale of services which are not supported by original VAT ORs stamped as zero-rated sales 172,890.89 Annex N 39 Overstatement of sales per VAT Return/Schedule 123.49 Annexes J-1 40 P49,935,076.29 ============ In addition, the Court finds that the amount of P76,489,541.59 must likewise be disallowed based on the following grounds: ICPA Report (Exh "P-16") Annex Exh. No. Client OR No. OR Date Invoice No. Invoice Date Amount (in PHp) Sale of services supported by VAT OR unreadable as to reference invoices H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1083 16,575.33 H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1090 2,502,977.78 H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1100 242,874.47 H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1101 273,233.51 H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1102 121,437.02 H P-30-120 ENERGY DEVELOPMENT CORP 215 8/17/2012 1108 1,021,347.20 H P-30-136 ENERGY DEVELOPMENT CORP 216 8/17/2012 1104 1,176,422.26 H P-30-136 ENERGY DEVELOPMENT CORP 216 8/17/2012 1105 2,404,717.03 H P-30-136 ENERGY DEVELOPMENT CORP 216 8/17/2012 1106 1,332,895.90 H P-30-136 ENERGY DEVELOPMENT CORP 216 8/17/2012 1116 765,442.89 Subtotal 9,857,923.39 Sale of services supported by VAT OR unreadable as to date, reference invoices, client name and amount H P-30-016 ENERGY DEVELOPMENT CORP 201 6/22/2012 11,531,100.56 H P-30-107 ENERGY DEVELOPMENT CORP 212 7/27/2012 811,458.99 Subtotal 12,342,559.55 Sale of services supported by VAT OR unreadable as to date, reference invoices and client name H P-30-111 ENERGY DEVELOPMENT CORP 214 8/3/2012 3,178,237.36 Subtotal 3,178,237.36 Sale of services supported by VAT OR unreadable as to date, reference invoices and amount H P-30-057 ENERGY DEVELOPMENT CORP 204 6/29/2012 4,744,839.70 H P-30-104 ENERGY DEVELOPMENT CORP 211 7/20/2012 1,282,502.76 Subtotal 6,027,342.46 Sale of services supported by VAT OR unreadable as to date and reference invoices H P-30-075 ENERGY DEVELOPMENT CORP 206 7/6/2012 4,901,849.50 H P-30-091 ENERGY DEVELOPMENT CORP 207 7/6/2012 16,439.00 H P-30-093 ENERGY DEVELOPMENT CORP 208 7/13/2012 2,832,212.04 H P-30-242 ENERGY DEVELOPMENT CORP 248 12/21/2012 4,566,381.75 Subtotal 12,316,882.29 Sale of services supported by VAT OR unreadable as to date and client name H P-30-147 ENERGY DEVELOPMENT CORP 217 8/17/2012 5,479.73 Subtotal 5,479.73 Sale of services supported by VAT OR unreadable as to date H P-30-219 ENERGY DEVELOPMENT CORP 238 11/9/2012 2,227,570.33 H P-30-264 MAIBARARA GEOTHERMAL, INC. 242 11/28/2012 4,943,005.86 H P-30-267 MAIBARARA GEOTHERMAL, INC. 243 11/28/2012 2,826,932.51 Subtotal 9,997,508.70 Sale of service with VAT invoice but without VAT OR J and J-1 P-32-5 MAIBARARA GEOTHERMAL, INC. 1140 7/31/2012 6,088,700.16 Subtotal 6,088,700.16 Sale of goods with VAT invoice but the term "VAT Zero-Rated" was not indicated thereon I P-31-03 ENERGY DEVELOPMENT CORP 1033 5/25/2012 118,289.96 I P-31-05 ENERGY DEVELOPMENT CORP 1032 5/24/2012 171,634.51 I P-31-30 ENERGY DEVELOPMENT CORP 1031 5/24/2012 1,078,178.63 Subtotal 1,368,103.10 Nature of service rendered has no details H P-30-001 ENERGY DEVELOPMENT CORP 185 5/11/2012 6,516,603.64 H P-30-010 ENERGY DEVELOPMENT CORP 196 6/8/2012 1,474,227.23 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 950 615,000.00 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 951 861,000.00 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 951 630,375.00 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 960 2,089,583.19 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 967 783,214.29 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 975 1,412,043.89 H P-30-024 ENERGY DEVELOPMENT CORP 202 6/29/2012 977 61,172.86 H P-30-038 ENERGY DEVELOPMENT CORP 203 6/29/2012 978 535,262.50 Subtotal 14,978,482.60 Nature of service not needed for development, construction, and installation of plant facilities nor pertaining to the process of conversion to power H P-30-200 ENERGY DEVELOPMENT CORP 235 10/10/2012 1082 328,322.25 Subtotal 328,322.25 TOTAL 76,489,541.59 In sum, out of the declared zero-rated sales amounting to P226,139,207.38, only the amount of P99,714,589.50 is considered valid, computed as follows: Zero-Rated Sales per VAT Returns P226,139,207.38 Less: Disallowances per Independent CPA's Report P49,935,076.29 Additional Disallowances per the Court's verification 76,489,541.59 126,424,617.88 Valid Zero-Rated Sales P99,714,589.50 ============ Third Requisite: Petitioner incurred or paid input taxes Petitioner declared a total amount of P11,989,902.83 input taxes, as detailed below, for the periods May to June, and 3rd and 4th quarters of taxable year 2012: 2nd Qtr. 41 Less: April May-June 2012 42 2012 Domestic purchase of goods other than capital goods P569,071.05 P(315,065.47) P254,005.58 Importation of goods other than capital 3,841,855.00 (299,070.00) 3,542,785.00 goods Domestic purchase of services 1,468,821.71 (1,307,942.04) 160,879.67 Total P5,879,747.76 P(1,922,077.51) P3,957,670.25 ============ ============ ============ May-June 3rd Qtr. 43 4th Qtr. 44 Total 2012 Domestic purchase of goods other than capital goods P254,005.58 P233,768.07 P624,989.40 P1,112,763.05 Importation of goods other than capital goods 3,542,785.00 1,367,723.29 966,625.00 5,877,133.29 Domestic purchase of services 160,879.67 2,254,469.65 2,584,657.17 5,000,006.49 Total P3,957,670.25 P3,855,961.01 P4,176,271.57 P11,989,902.83 ============ ============ ============ ============ However, out of the above input VAT of P11,989,902.83, only P7,332,514.81 is being claimed by petitioner for refund or issuance of tax credit certificate. 45 And out of the P11,989,902.83 reported input VAT, only P11,959,466.58 was part of petitioner's Schedule of Purchases. 46 The difference amounting to P30,436.25 was accounted for as follows: 47 Details Amount a. May to June Difference 1. Reversal of input VAT from supplier (i.e.,LTC P(57,744.75) Multi Services, Inc.) 2. Input VAT reported in the VAT returns but has no 23,765.60 P(33,979.15) support b. 3rd Quarter Difference 1. Input VAT reported in the VAT returns for July but has no 45,116.08 Support 2. Input VAT reported in the VAT returns for August but has 60,052.96 no support 3. Input VAT reported in the VAT returns for September but 47,520.11 152,689.15 has no support c. 4th Quarter Difference 1. Input VAT in schedule but not reported in the VAT returns (88,273.75) (88,273.75) P30,436.25 ========= Petitioner submitted various suppliers' invoices, official receipts, Bureau of Customs (BOC) Import Entries and Internal Revenue Declarations (IEIRDs) 48 to substantiate the amount of P11,959,466.58 per Schedule of Purchases which were examined by the Independent CPA. AIDSTE Upon scrutiny of the Independent CPA Report and the related supporting documents, the Court finds that the input taxes in the amount of P1,014,837.33 should be disallowed for non-compliance with the substantiation requirements under Sections 110 (A) and 113 (A) and (B) of the NIRC of 1997, as amended, in relation to Sections 4.110-2, 4.110-3, 4.110-8, and 4.113-1 of RR No. 16-05, as amended. Below is the detailed breakdown of the disallowed input VAT of P1,014,837.33: ICPA Report Findings Amount (Exh. "P- 16") Annex 49 Domestic purchases of goods (other than capital goods) supported with original VAT invoices but has no Authority to Print (ATP) P344,124.00 Y Domestic purchases of services supported by with original VAT ORs not dated within the taxable year 184,922.91 Z Importation of goods (other than capital goods) supported with Certified True Copies of IEIRDs not dated within the periods of claim 244,413.00 AA Domestic purchases of services supported with original VAT ORs but has no date indicated 5,546.71 BB Domestic purchases of services supported with original VAT ORs but not named after the Company 14,872.70 CC Domestic purchases of goods (other than capital goods) supported with original VAT invoices but not named after the Company 759.26 DD Domestic purchases of goods (other than capital goods) supported with photocopies of VAT invoices 2,687.14 EE Domestic purchases of services supported with Non-VAT ORs 23,029.92 FF Domestic purchases of goods (other than capital goods) supported with original VAT invoices but has no "VAT" printing on supplier's TIN 144.64 GG Domestic purchases of services supported with tape receipt 53,967.27 HH Domestic purchases of services supported with statement of account (SOA) 64,775.72 II Domestic purchases of services supported with acknowledgment receipt 69,388.56 JJ Importation of goods (other than capital goods) supported with original VAT invoices and photocopied IEIRDs but the amount of input VAT claimed is overstated (amount of overstatement) 3,340.31 KK Domestic purchases of services properly supported with original VAT ORs but the amount of input VAT claimed is overstated (amount of overstatement) 2,865.19 LL P1,014,837.33 =========== In addition, petitioner's claimed input VAT in the amount of P10,669,111.15, as detailed below, should also be disallowed for non-compliance with the substantiation requirements under the VAT law and regulations: ICPA Report Exh. No. Supplier Invoice/OR/ Date Amount (Exh "P-16") IEIRD No. (in PHp) Annex Amount of purchase of goods is P1,000 or more but petitioner's TIN not indicated in VAT invoice; VAT invoice has no ATP S P-38-112 CANON MKTG PHILS, INC. 23264 10/2/2012 3,009.00 S P-38-113 CANON MKTG PHILS, INC. 734789 10/8/2012 4,266.00 S P-38-114 to P-38-115 CANON MKTG PHILS, INC. 737894 11/7/2012 7,110.00 V P-41-05 CANON MKTG PHILS, INC. 722757 5/29/2012 9,785.36 V P-41-07 CANON MKTG PHILS, INC. 684675 5/9/2012 1,872.75 Subtotal 26,043.11 Amount of purchase of goods is P1,000 or more but petitioner's TIN and address not indicated in VAT invoice S P-38-032 CABEPCO BEARING AND PARTS CO 68113 9/18/2012 675.00 S P-38-033 CABEPCO BEARING AND PARTS CO 66993 7/9/2012 803.57 S P-38-106 CABEPCO BEARING AND PARTS CO 68370 10/8/2012 2,710.71 S P-38-107 CABEPCO BEARING AND PARTS CO 68369 10/8/2012 739.29 V P-41-02 CABEPCO BEARING AND PARTS CO 66287 5/23/2012 2,378.57 V P-41-04 CABEPCO BEARING AND PARTS CO 66294 5/23/2012 1,971.43 Subtotal 9,278.57 Amount of purchase of goods is P1,000 or more but petitioner's TIN not indicated in VAT invoice S P-38-003 DAN DARYLL PHILS, INC. 61526 5/31/2012 317.42 S P-38-004 CO BAN KIAT HARDWARE, INC. 504907 6/13/2012 407.14 S P-38-006 DAN DARYLL PHILS, INC. 60835 5/21/2012 897.85 S P-38-008 FRANCISCO HARDWARE, INC. 108591 5/30/2012 2,626.06 S P-38-009 MABUHAY VINYL CORP 500001749 5/4/2012 15,120.00 S P-38-010 MABUHAY VINYL CORP 500001750 5/4/2012 16,595.25 S P-38-012 PRUDENTIAL INTERTRADE PHILS, INC. 51284 5/22/2012 1,179.74 S P-38-018 KARL GELSON INDUSTL SALES CORP 21840 5/22/2012 962.14 S P-38-019 KARL GELSON INDUSTL SALES CORP 21815 5/17/2012 4,973.77 S P-38-020 KARL GELSON INDUSTL SALES CORP 21193 5/31/2012 1,021.82 S P-38-021 FIRETRON SAFETY SYSTEM 4382 6/14/2012 4,660.72 S P-38-022 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL 8293 5/22/2012 837.77 SYSTEMS AND SERVICES, INC. S P-38-023 PRUDENTIAL INTERTRADE PHILS, INC. 51387 6/13/2012 522.00 S P-38-024 PRUDENTIAL INTERTRADE PHILS, INC. 51393 6/15/2012 812.14 S P-38-025 PRUDENTIAL INTERTRADE PHILS, INC. 51349 6/6/2012 838.28 S P-38-026 PRUDENTIAL INTERTRADE PHILS, INC. 51337 6/1/2012 573.65 S P-38-034 CABEPCO BEARING AND PARTS CO 67446 8/8/2012 4,328.57 S P-38-035 COLEMAC SAFETY CORP 3405 8/13/2012 426.43 S P-38-036 COLEMAC SAFETY CORP 3380 8/1/2012 658.93 S P-38-037 COLEMAC SAFETY CORP 3379 7/17/2012 668.58 S P-38-038 COLEMAC SAFETY CORP 3378 7/17/2012 917.15 S P-38-039 DAN DARYLL PHILS, INC. 63686 7/10/2012 2,087.33 S P-38-040 DAN DARYLL PHILS, INC. 64476 7/25/2012 171.96 S P-38-044 FELPET TRADING & MATERIALS RECOVERY 0144 8/15/2012 900.00 SERVICES S P-38-045 FELPET TRADING & MATERIALS RECOVERY 0147 8/23/2012 261.87 SERVICES S P-38-046 FELPET TRADING & MATERIALS RECOVERY 0145 8/15/2012 261.87 SERVICES S P-38-047 FELPET TRADING & MATERIALS RECOVERY 0138 7/24/2012 878.64 SERVICES S P-38-048 FELPET TRADING & MATERIALS RECOVERY 0141 8/2/2012 132.62 SERVICES S P-38-049 FELPET TRADING & MATERIALS RECOVERY 0140 8/2/2012 878.64 SERVICES S P-38-050 FELPET TRADING & MATERIALS RECOVERY 0128 7/15/2012 14,400.00 SERVICES S P-38-051 FELPET TRADING & MATERIALS RECOVERY 0133 7/15/2012 857.04 SERVICES S P-38-052 FIRETRON SAFETY SYSTEM 5013 8/24/2012 655.74 S P-38-053 FRANCISCO HARDWARE, INC. 108808 9/6/2012 1,055.36 S P-38-054 FRANCISCO HARDWARE, INC. 108777 8/23/2012 726.10 S P-38-055 FRANCISCO HARDWARE, INC. 108776 8/23/2012 663.12 S P-38-056 FRANCISCO HARDWARE, INC. 108760 8/15/2012 2,706.01 S P-38-057 FRANCISCO HARDWARE, INC. 108759 8/15/2012 1,265.46 S P-38-058 FRANCISCO HARDWARE, INC. 108791 8/23/2012 180.00 S P-38-059 FRANCISCO HARDWARE, INC. 108749 8/13/2012 744.64 S P-38-060 FRANCISCO HARDWARE, INC. 108733 8/2/2012 1,013.57 S P-38-061 FRANCISCO HARDWARE, INC. 108711 7/21/2012 628.29 S P-38-062 FRANCISCO HARDWARE, INC. 108721 7/26/2012 444.65 S P-38-063 FRANCISCO HARDWARE, INC. 108720 7/26/2012 259.83 S P-38-064 FRANCISCO HARDWARE, INC. 108697 7/17/2012 912.00 S P-38-065 FRANCISCO HARDWARE, INC. 108683 7/9/2012 240.54 S P-38-066 FRANCISCO HARDWARE, INC. 108692 7/13/2012 514.29 S P-38-071 GY INDUSTRIAL MILL SUPPLY CORP 38226 7/17/2012 495.63 S P-38-077 KARL GELSON INDUSTL SALES CORP 22559 7/23/2012 443.57 S P-38-078 KARL GELSON INDUSTL SALES CORP 22826 8/14/2012 1,928.57 S P-38-079 KARL GELSON INDUSTL SALES CORP 22595 7/30/2012 2,456.40 S P-38-080 KARL GELSON INDUSTL SALES CORP 22607 7/31/2012 1,520.14 S P-38-081 KARL GELSON INDUSTL SALES CORP 22926 8/31/2012 2,093.23 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL SYSTEMS AND S P-38-083 SERVICES, INC. 8497 7/25/2012 837.77 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL SYSTEMS AND S P-38-084 SERVICES, INC. 8463 7/17/2012 837.77 S P-38-085 PRUDENTIAL INTERTRADE PHILS, INC. 51696 9/6/2012 125.36 S P-38-086 RAPIDE AUTO SERVICE CENTER ST3889/PT14207 7/9/2012 217.50 S P-38-087 RAQUE TRADING & SERVICES 0212 7/17/2012 2,699.86 S P-38-088 RAQUE TRADING & SERVICES 0224 7/17/2012 2,711.14 S P-38-089 RMEV ENTERPRISES 0139 7/26/2012 2,169.75 S P-38-090 ROSEPRIME ENTERPRISE 73190 8/10/2012 878.57 S P-38-091 ROSEPRIME ENTERPRISE 76071 7/13/2012 439.29 S P-38-092 WYLER ENTERPRISES, INC. 58577 9/8/2012 1,063.39 S P-38-094 WYLER ENTERPRISES, INC. 58142 8/4/2012 160.71 S P-38-095 WYLER ENTERPRISES, INC. 58322 8/22/2012 450.00 S P-38-096 WYLER ENTERPRISES, INC. 58090 8/1/2012 225.00 S P-38-097 ANDISON INDUSTRIAL SALES 15983 11/7/2012 642.86 S P-38-098 ANDISON INDUSTRIAL SALES 15982 11/7/2012 1,285.72 S P-38-099 ARAHR SERVICES MKTG, INC. 3901 12/19/2012 3,485.14 S P-38-100 ARAHR SERVICES MKTG, INC. 3894 11/23/2012 1,440.00 S P-38-101 ARAHR SERVICES MKTG, INC. 3897 12/7/2012 4,392.86 S P-38-102 ARAHR SERVICES MKTG, INC. 3886 10/20/2012 4,467.86 S P-38-104 ASSOCIATE BEARING & PARTS CORP 46181 11/20/2012 455.38 S P-38-105 CABEPCO BEARING AND PARTS CO 68490 10/20/2012 621.43 S P-38-109 CABEPCO BEARING AND PARTS CO 68645 11/9/2012 9,428.57 S P-38-110 CABEPCO BEARING AND PARTS CO 68690 11/14/2012 1,135.72 S P-38-111 CABEPCO BEARING AND PARTS CO 68849 12/4/2012 1,478.58 S P-38-116 CO BAN KIAT HARDWARE, INC. 510140 10/9/2012 300.00 S P-38-117 CO BAN KIAT HARDWARE, INC. 512704 11/21/2012 278.57 S P-38-118 CO BAN KIAT HARDWARE, INC. 509517 9/18/2012 508.93 S P-38-119 COLEMAC SAFETY CORP 3572 11/21/2012 1,390.71 S P-38-120 COLEMAC SAFETY CORP 3573 11/21/2012 409.29 S P-38-121 COLEMAC SAFETY CORP 3547 11/8/2012 3,267.86 S P-38-122 COLEMAC SAFETY CORP 3546 11/8/2012 213.21 S P-38-123 DAN DARYLL PHILS, INC. 70595 11/21/2012 1,179.17 S P-38-124 DAN DARYLL PHILS, INC. 69575 10/31/2012 1,573.38 S P-38-125 DAN DARYLL PHILS, INC. 67924 10/1/2012 941.94 S P-38-126 DAN DARYLL PHILS, INC. 71822 12/14/2012 534.96 S P-38-127 DAN DARYLL PHILS, INC. 71341 12/4/2012 318.56 FELPET TRADING & MATERIALS S P-38-133 RECOVERY SERVICES 0163 11/18/2012 280.08 FELPET TRADING & MATERIALS S P-38-134 RECOVERY SERVICES 0171 11/29/2012 390.96 FELPET TRADING & MATERIALS S P-38-135 RECOVERY SERVICES 0170 11/29/2012 1,244.40 FELPET TRADING & MATERIALS S P-38-136 RECOVERY SERVICES 0162 11/7/2012 1,907.14 FELPET TRADING & MATERIALS S P-38-137 RECOVERY SERVICES 0159 10/16/2012 554.40 FELPET TRADING & MATERIALS S P-38-138 RECOVERY SERVICES 0156 10/11/2012 1,230.77 S P-38-139 FIRETRON SAFETY SYSTEM 7561 10/31/2012 235.21 S P-38-140 FRANCISCO HARDWARE, INC. 108952 12/7/2012 930.00 S P-38-141 FRANCISCO HARDWARE, INC. 108930 11/11/2012 1,094.98 S P-38-142 FRANCISCO HARDWARE, INC. 108932 11/21/2012 589.83 S P-38-143 FRANCISCO HARDWARE, INC. 108917 11/9/2012 1,307.14 S P-38-144 FRANCISCO HARDWARE, INC. 108847 10/3/2012 4,285.71 S P-38-145 FRANCISCO HARDWARE, INC. 108910 11/7/2012 514.29 S P-38-146 FRANCISCO HARDWARE, INC. 108911 11/7/2012 1,400.79 S P-38-147 FRANCISCO HARDWARE, INC. 108916 11/9/2012 538.07 S P-38-148 FRANCISCO HARDWARE, INC. 108891 10/24/2012 1,465.07 S P-38-149 FRANCISCO HARDWARE, INC. 108889 10/24/2012 1,558.96 S P-38-150 FRANCISCO HARDWARE, INC. 108877 10/17/2012 634.29 S P-38-151 FRANCISCO HARDWARE, INC. 108867 10/12/2012 1,773.22 S P-38-152 FRANCISCO HARDWARE, INC. 108868 10/12/2012 193.40 S P-38-153 FRANCISCO HARDWARE, INC. 108840 10/2/2012 2,489.99 S P-38-154 FRANCISCO HARDWARE, INC. 108842 10/2/2012 486.43 S P-38-156 GOLDEN BAT (FAR EAST),INC. 112821 12/11/2012 1,435.70 S P-38-157 GY INDUSTRIAL MILL SUPPLY CORP 394139 11/6/2012 2,100.00 S P-38-158 GY INDUSTRIAL MILL SUPPLY CORP 394314 11/9/2012 2,850.00 S P-38-165 KARL GELSON INDUSTL SALES CORP 24018 11/21/2012 2,960.35 S P-38-166 KARL GELSON INDUSTL SALES CORP 23995 11/19/2012 6,741.42 S P-38-167 KARL GELSON INDUSTL SALES CORP 23757 10/24/2012 1,176.41 S P-38-168 KARL GELSON INDUSTL SALES CORP 23924 11/7/2012 2,019.64 S P-38-169 KARL GELSON INDUSTL SALES CORP 23551 10/8/2012 3,166.10 S P-38-170 KARL GELSON INDUSTL SALES CORP 24019 11/21/2012 969.00 S P-38-171 KARL GELSON INDUSTL SALES CORP 24207 12/4/2012 771.42 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL SYSTEMS AND S P-38-172 SERVICES, INC. 8739 10/9/2012 837.77 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL SYSTEMS AND S P-38-173 SERVICES, INC. 8720 10/4/2012 1,928.57 S P-38-174 PRUDENTIAL INTERTRADE PHILS, INC. 52113 12/11/2012 769.28 S P-38-175 PRUDENTIAL INTERTRADE PHILS, INC. 51971 11/12/2012 1,736.78 S P-38-176 PRUDENTIAL INTERTRADE PHILS, INC. 51914 10/23/2012 129.44 S P-38-177 RAQUE TRADING & SERVICES 0280 11/9/2012 2,015.76 S P-38-178 RAQUE TRADING & SERVICES 0047 10/12/2012 824.25 S P-38-179 RAQUE TRADING & SERVICES 0046 10/12/2012 2,322.91 S P-38-180 RAQUE TRADING & SERVICES 0355 9/5/2012 4,360.05 S P-38-181 ROSEPRIME ENTERPRISE 81281 10/2/2012 878.58 S P-38-182 WYLER ENTERPRISES, INC. 60098 11/29/2012 2,228.57 S P-38-183 WYLER ENTERPRISES, INC. 59893 11/20/2012 241.07 S P-38-184 WYLER ENTERPRISES, INC. 59689 11/9/2012 321.43 S P-38-185 WYLER ENTERPRISES, INC. 59789 11/15/2012 2,240.36 S P-38-186 WYLER ENTERPRISES, INC. 59656 11/8/2012 803.57 S P-38-187 WYLER ENTERPRISES, INC. 59381 10/23/2012 754.28 S P-38-188 WYLER ENTERPRISES, INC. 59393 10/23/2012 3,053.58 S P-38-189 WYLER ENTERPRISES, INC. 59106 10/9/2012 450.00 V P-41-03 CABEPCO BEARING AND PARTS CO 66406 5/30/2012 3,278.57 V P-41-08 DAN DARYLL PHILS, INC. 62320 6/14/2012 942.53 V P-41-09 DAN DARYLL PHILS, INC. 62739 6/21/2012 369.64 FELPET TRADING & MATERIALS V P-41-10 RECOVERY SERVICES 0125 6/29/2012 261.87 V P-41-12 FRANCISCO HARDWARE, INC. 108685 6/28/2012 102.86 V P-41-13 FRANCISCO HARDWARE, INC. 108684 6/29/2012 342.86 V P-41-14 FRANCISCO HARDWARE, INC. 108664 6/22/2012 267.86 V P-41-15 FRANCISCO HARDWARE, INC. 108632 6/15/2012 301.60 V P-41-16 FRANCISCO HARDWARE, INC. 108736 5/25/2012 201.43 V P-41-17 FRANCISCO HARDWARE, INC. 108735 5/23/2012 273.76 V P-41-18 FRANCISCO HARDWARE, INC. 108734 5/22/2012 3,172.18 V P-41-23 KARL GELSON INDUSTL SALES CORP 22134 6/8/2012 214.29 V P-41-24 KINGS SAFETYNET, INC. 15515 6/13/2012 227.20 V P-41-27 MABUHAY VINYL CORP 500001748 5/4/2012 18,511.50 V P-41-28 RAPIDE AUTO SERVICE CENTER ST3770/PT14132 5/30/2012 991.29 V P-41-29 RAQUE TRADING & SERVICES 0211 6/20/2012 18,750.00 V P-41-30 ROSEPRIME ENTERPRISE 69815 6/19/2012 439.29 V P-41-32 WYLER ENTERPRISES, INC. 57209 6/14/2012 315.00 V P-41-33 COLEMAC SAFETY CORP 3461 6/22/2012 1,028.57 V P-41-34 COLEMAC SAFETY CORP 3459 6/22/2012 257.14 V P-41-35 COLEMAC SAFETY CORP 3527 6/13/2012 244.29 V P-41-36 COLEMAC SAFETY CORP 3528 9/10/2012 1,611.43 V P-41-37 DAN DARYLL PHILS, INC. 66991 9/13/2012 895.52 V P-41-38 DAN DARYLL PHILS, INC. 66990 9/13/2012 557.14 FELPET TRADING & MATERIALS V P-41-39 RECOVERY SERVICES 0153 9/20/2012 953.57 FELPET TRADING & MATERIALS V P-41-40 RECOVERY SERVICES 0151 9/5/2012 3,053.60 FELPET TRADING & MATERIALS V P-41-41 RECOVERY SERVICES 0155 9/20/2012 294.00 FELPET TRADING & MATERIALS V P-41-42 RECOVERY SERVICES 0154 9/20/2012 277.20 V P-41-43 FIRETRON SAFETY SYSTEM 4797 8/1/2012 235.71 V P-41-44 FIRETRON SAFETY SYSTEM 5203 9/17/2012 2,179.28 V P-41-45 FIRETRON SAFETY SYSTEM 5204 9/17/2012 192.86 V P-41-46 FIRETRON SAFETY SYSTEM 4798 8/1/2012 396.43 V P-41-47 FRANCISCO HARDWARE, INC. 108839 9/18/2012 1,767.86 V P-41-49 RAPIDE AUTO SERVICE CENTER ST3922/PT15705 7/17/2012 1,227.86 V P-41-50 RAPIDE AUTO SERVICE CENTER ST3930/PT15707 7/20/2012 1,087.71 V P-41-57 KARL GELSON INDUSTL SALES CORP 23068 9/8/2012 3,580.73 V P-41-58 KARL GELSON INDUSTL SALES CORP 23267 9/19/2012 1,982.14 V P-41-59 KARL GELSON INDUSTL SALES CORP 23146 9/19/2012 407.16 V P-41-60 KARL GELSON INDUSTL SALES CORP 22857 8/18/2012 1,236.32 V P-41-61 KARL GELSON INDUSTL SALES CORP 22842 8/6/2012 7,657.07 V P-41-62 KARL GELSON INDUSTL SALES CORP 23340 9/28/2012 4,367.73 PHILIPPINE ENVIRONMENT & TECHNOLOGICAL SYSTEMS AND V P-41-63 SERVICES, INC. 8681 9/26/2012 837.77 Subtotal 314,173.57 Amount of purchase of service is P1,000 or more but petitioner's address not indicated in VAT OR T P-39-019 NF RODRIGUEZ JR LAW OFFICES 0589 6/29/2012 6,360.00 T P-39-310 NF RODRIGUEZ JR LAW OFFICES 0601 8/30/2012 12,732.00 T P-39-314 NF RODRIGUEZ JR LAW OFFICES 0595 7/20/2012 9,294.00 T P-39-580 NF RODRIGUEZ JR LAW OFFICES 0617 11/9/2012 3,570.00 W P-42-068 NF RODRIGUEZ JR LAW OFFICES 631 12/21/2012 9,321.48 W P-42-069 NF RODRIGUEZ JR LAW OFFICES 632 12/28/2012 7,260.00 Subtotal 48,537.48 Amount of purchase of service is P1,000 or more but petitioner's TIN and address not indicated in VAT OR T P-39-313 NF RODRIGUEZ JR LAW OFFICES 0609 9/28/2012 8,460.00 TIMBER PROTECTION AND T P-39-373 MAINTENANCE SERVICES, INC. 84541 9/7/2012 3,016.69 TIMBER PROTECTION AND T P-39-375 MAINTENANCE SERVICES, INC. 84540 9/7/2012 4,178.57 TIMBER PROTECTION AND T P-39-631 MAINTENANCE SERVICES, INC. 85792 12/17/2012 2,201.08 TIMBER PROTECTION AND T P-39-633 MAINTENANCE SERVICES, INC. 85481 11/23/2012 815.61 Subtotal 18,671.95 Amount of purchase of service is P1,000 or more but petitioner's TIN not indicated in VAT OR T P-39-204 INSULAR HEALTH CARE, INC. 182433 7/23/2012 223.24 T P-39-205 INSULAR HEALTH CARE, INC. 182968 8/17/2012 175.69 T P-39-337 SILVERSOCKET ENTERPRISES 0001 8/16/2012 12,044.20 T P-39-426 ASPRAC AGRICULTURAL CORP 31433 12/21/2012 4,016.84 Subtotal 16,459.97 Importation of non-capital goods supported with IEIRD but dated outside period of claim and no proof of VAT payment U P-40-12 to 13 CAPARGE CEMENT SDN BHD BJ WELL 4/12/2012 489,620.00 U P-40-14 to 15 LAFARGE CEMENT SDN BHD BJUI2042001 4/20/2012 490,041.00 Subtotal 979,661.00 Importation of non-capital goods supported with IEIRD but no proof of VAT payment U P-40-01 to 03 BAKER HUGHES 122301B02V 6/5/2012 102,848.00 U P-40-04 to 05 BAKER HUGHES DRILLING FLUIDS BJUI12062101 6/21/2012 256,141.00 U P-40-06 to 08 BAKER HUGHES DRILLING FLUIDS 122401B04D 6/14/2012 212,412.00 BJ SERVICES COMPANY U P-40-09 to 11 (SINGAPORE) PTE LTD 122101B029 5/21/2012 7,420.00 U P-40-16 to 18 PT BAKER HUGHES INDONESIA 122101BO1F 5/25/2012 297,034.01 U P-40-19 to 21 BAKER HUGHES DRILLING FLUIDS 122901B09H 7/20/2012 307,287.00 U P-40-22 to 24 BAKER HUGHES DRILLING FLUIDS 123101B04Y 8/6/2012 216,818.00 U P-40-25 to 27 BAKER HUGHES OILFIELD OPERATIONS, INC. 122901B086 7/26/2012 13,917.00 U P-40-28 to 30 BAKER PETROLITE 123101B04V 8/3/2012 224,560.00 BJ SERVICE INTERNATIONAL U P-40-31 to 34 (THAILAND) LTD BJUI2083003 8/29/2012 7,408.00 BJ SERVICES COMPANY U P-40-35 to 37 (SINGAPORE) PTE LTD 123401B078 8/28/2012 121,058.00 BJ SERVICES COMPANY U P-40-38 to 40 (SINGAPORE) PTE LTD 122601B078 7/2/2012 64,219.00 U P-40-41 to 43 NATIONAL OILWELL PTE LTD 122901B09J 7/20/2012 56,815.00 U, KK P-40-44 to 46 BAKER HUGHES OILFIELD OPERATIONS, INC. 125001B073 12/14/2012 23,242.00 U, KK P-40-47 to 49 BAKER HUGHES OILFIELD OPERATIONS, INC. 124801B08G 12/5/2012 9,559.00 U, KK P-40-50 to 52 BAKER HUGHES DRILLING FLUIDS 124401B01Q 10/30/2012 2,195.00 U, KK P-40-53 to 55 BAKER HUGHES OILFIELD OPERATIONS, INC. 124301B04L 10/24/2012 23,818.00 U, KK P-40-56 to 58 BAKER HUGHES OILFIELD OPERATIONS, INC. 124201B03K 10/17/2012 68,498.00 BJ SERVICES COMPANY U, KK P-40-59 to 61 (SINGAPORE) PTE LTD 124801B06Q 11/29/2012 88,853.00 BJ SERVICES COMPANY U P-40-62 to 64 (SINGAPORE) PTE LTD 124001B09H 10/8/2012 3,263.69 BJ SERVICES COMPANY U P-40-65 to 67 (SINGAPORE) PTE LTD 124001B07N 10/5/2012 47,946.96 BJ SERVICES COMPANY U, KK P-40-68 to 70 (SINGAPORE) PTE LTD SGO 125001B041 12/12/2012 2,720.00 BJ SERVICES COMPANY U, KK P-40-71 to 73 (SINGAPORE) PTE LTD SGO 124801B078 11/29/2012 157,826.00 BJ SERVICES COMPANY U, KK P-40-74 to 76 (SINGAPORE) PTE LTD SGO 124501B0AX 11/12/2012 76,756.00 BJ SERVICES COMPANY U, KK P-40-77 to 79 (SINGAPORE) PTE LTD SGO 124401B08A 11/2/2012 103,300.00 U P-40-80 to 82 QASF COMPANY LTD BJ0002 12/4/2012 144,090.00 U, KK P-40-83 to 85 SAGA-PCE PTE LTD 124401B04G 10/30/2012 18,130.00 BJ SERVICES COMPANY X, KK P-43-01 to 02 (SINGAPORE) PTE LTD BK000 6/22/2012 408,952.00 BAKER HUGHES OILFIELD X P-43-03 to 05 OPERATIONS, INC. 121901B065 5/10/2012 201,998.00 BJ SERVICES COMPANY X P-43-06 to 08 (SINGAPORE) PTE LTD 121701B0DO 5/2/2012 6,105.00 BAKER HUGHES DRILLING X P-43-09 to 10 FLUIDS 005BJ 6/25/2012 96,629.00 BJ SERVICES COMPANY X P-43-11 to 12 (SINGAPORE) PTE LTD 002 5/14/2012 1,277,878.00 Subtotal 4,649,696.66 Purchase of goods supported by VAT invoice but petitioner's TIN is wrong S P-38-013 INTEGRATED COMPUTER SYS.,INC. 310138844 5/28/2012 975.00 S P-38-014 INTEGRATED COMPUTER SYS.,INC. 310139896 6/14/2012 570.54 S P-38-015 INTEGRATED COMPUTER SYS.,INC. 310138410 5/21/2012 684.64 S P-38-016 INTEGRATED COMPUTER SYS.,INC. 310138613 5/23/2012 456.43 S P-38-074 INTEGRATED COMPUTER SYS.,INC. 310141381 7/9/2012 996.43 S P-38-075 INTEGRATED COMPUTER SYS.,INC. 210059339 8/16/2012 1,653.21 S P-38-076 INTEGRATED COMPUTER SYS.,INC. 310144246 8/23/2012 152.14 S P-38-161 INTEGRATED COMPUTER SYS.,INC. 310148616 10/31/2012 1,521.43 S P-38-162 INTEGRATED COMPUTER SYS.,INC. 310149034 11/9/2012 393.75 S P-38-163 INTEGRATED COMPUTER SYS.,INC. 310149849 11/22/2012 1,312.50 V P-41-52 INTEGRATED COMPUTER SYS.,INC. 310145970 9/19/2012 803.57 V P-41-53 INTEGRATED COMPUTER SYS.,INC. 310145968 9/19/2012 482.14 V P-41-54 INTEGRATED COMPUTER SYS.,INC. 310145969 9/19/2012 1,151.79 V P-41-55 INTEGRATED COMPUTER SYS.,INC. 310145787 9/17/2012 1,193.57 V P-41-56 INTEGRATED COMPUTER SYS.,INC. 210060249 9/23/2012 1,822.50 S P-38-093 WYLER ENTERPRISES, INC. 58004 7/25/2012 1,561.61 Subtotal 15,731.25 Purchase of service supported by VAT Exempt OR T P-39-231 KUEHNE AND NAGEL, INC. 185436 9/28/2012 264.96 Purchase of service supported by VAT invoice but no VAT OR V P-41-11 FORMS INTERNATIONAL ENT CORP 18869 6/19/2012 932.14 Purchase of service supported by VAT OR but dated outside period of claim T P-39-017 NANDZ ENTERPRISES 0240 4/11/2012 750.00 Purchase of service supported by VAT OR but is undated and VAT amount not separately indicated T P-39-033 ARAHR SERVICES MKTG, INC. 2355 7/19/2012 2,871.43 Purchase of service supported by VAT OR but not under petitioner's name T P-39-035 ASPRAC AGRICULTURAL CORP 31147 9/21/2012 1,313.26 Purchase of service supported by VAT OR but petitioner's TIN is wrong SODEXO MOTIVATION T P-39-603 SOLUTIONS PHILS, INC. 119757 10/11/2012 168.00 SODEXO MOTIVATION T P-39-604 SOLUTIONS PHILS, INC. 126198 12/20/2012 1,334.40 Subtotal 1,502.40 Purchase of service supported by VAT OR but VAT amount not separately indicated T P-39-001 DENROW TRUCKING 1797 6/29/2012 129,600.00 DHL GLOBAL FORWARDING T P-39-003 (PHILS),INC. 81813 6/22/2012 1,291.06 DHL GLOBAL FORWARDING T P-39-004 (PHILS),INC. 81814 6/22/2012 8,729.88 DHL GLOBAL FORWARDING T P-39-008 (PHILS),INC. 81812 6/22/2012 12,051.29 JOEL CHAVEZ EQUIPMENT T P-39-015 RENTALS 4454 6/29/2012 438.00 TOTAL MATERIAL HANDLING T P-39-020 PRODUCTS, INC. 0051 6/1/2012 5,748.23 APPLIED CALIBRATION & INSTRUMENTATION SYSTEM, T P-39-031 INC. 1290 8/24/2012 2,866.07 T P-39-039 BERKMAN SYSTEMS, INC. 8039 9/7/2012 14,400.00 T P-39-041 CONSTANTINO GUADALQUIVER & CO 8258 8/17/2012 6,375.86 T P-39-043 CONSTANTINO GUADALQUIVER & CO 8270 8/31/2012 18,683.96 T P-39-046 CONSTANTINO GUADALQUIVER & CO 8296 9/14/2012 3,300.00 D MIDLAND PACIFIC HOTEL T P-39-048 BATANGAS CORP 1099 9/17/2012 9,409.42 D MIDLAND PACIFIC HOTEL T P-39-051 BATANGAS CORP 1100 9/17/2012 2,686.62 T P-39-053 DENROW TRUCKING 1802 8/3/2012 93,600.00 DHL GLOBAL FORWARDING T P-39-055 (PHILS),INC. 85704 9/28/2012 4,996.65 DHL GLOBAL FORWARDING T P-39-059 (PHILS),INC. 84809 9/14/2012 7,179.37 DHL GLOBAL FORWARDING T P-39-064 (PHILS),INC. 83844 9/7/2012 10,044.57 DHL GLOBAL FORWARDING T P-39-069 (PHILS),INC. 83827 8/31/2012 3,026.97 DHL GLOBAL FORWARDING T P-39-074 (PHILS),INC. 83819 8/24/2012 3,190.78 DHL GLOBAL FORWARDING T P-39-081 (PHILS),INC. 82800 8/15/2012 451.24 DHL GLOBAL FORWARDING T P-39-084 (PHILS),INC. 82797 8/10/2012 1,010.40 DHL GLOBAL FORWARDING T P-39-086 (PHILS),INC. 82782 8/1/2012 4,003.49 DHL GLOBAL FORWARDING T P-39-089 (PHILS),INC. 82765 7/24/2012 2,453.71 DHL GLOBAL FORWARDING T P-39-093 (PHILS),INC. 81844 7/13/2012 2,209.20 DHL GLOBAL FORWARDING T P-39-095 (PHILS),INC. 81845 7/12/2012 4,032.68 T P-39-098 DOWJONES, INC. 5288 8/29/2012 7,997.69 T P-39-110 DOWJONES, INC. 5363 9/21/2012 7,260.76 T P-39-123 DOWJONES, INC. 5199 7/27/2012 14,003.50 T P-39-150 DOWJONES, INC. 5632 9/21/2012 6,238.99 FELPET TRADING & MATERIALS T P-39-162 RECOVERY SERVICES 0014 9/21/2012 2,056.32 FELPET TRADING & MATERIALS T P-39-164 RECOVERY SERVICES 0015 9/21/2012 2,089.32 FELPET TRADING & MATERIALS T P-39-166 RECOVERY SERVICES 0013 9/27/2012 60,857.14 FELPET TRADING & MATERIALS T P-39-169 RECOVERY SERVICES 0012 9/7/2012 66,192.34 FELPET TRADING & MATERIALS T P-39-174 RECOVERY SERVICES 0010 8/24/2012 46,385.28 FELPET TRADING & MATERIALS T P-39-177 RECOVERY SERVICES 0009 8/2/2012 73,297.18 FELPET TRADING & MATERIALS T P-39-183 RECOVERY SERVICES 0008 8/2/2012 60,857.14 FELPET TRADING & MATERIALS T P-39-186 RECOVERY SERVICES 0007 7/13/2012 49,619.09 FELPET TRADING & MATERIALS T P-39-191 RECOVERY SERVICES 0006 7/6/2012 34,800.00 FELPET TRADING & MATERIALS T P-39-193 RECOVERY SERVICES 0011 8/24/2012 2,880.00 T P-39-195 HONDA PHILIPPINES, INC. 90136540V 9/28/2012 375.00 T P-39-197 HONDA PHILIPPINES, INC. 90134830V 8/31/2012 1,125.00 T P-39-199 HONDA PHILIPPINES, INC. 90133679V 8/10/2012 750.00 T P-39-201 ICO ASIA PACIFIC PHILIPPINES, INC. 0513 9/21/2012 18,521.46 T P-39-206 JOEL CHAVEZ EQUIPMENT RENTALS 4506 8/3/2012 1,200.00 T P-39-208 JOEL CHAVEZ EQUIPMENT RENTALS 4505 8/3/2012 32,160.00 T P-39-211 JOEL CHAVEZ EQUIPMENT RENTALS 4523 8/17/2012 26,640.00 T P-39-213 JOEL CHAVEZ EQUIPMENT RENTALS 4522 8/17/2012 24,336.00 T P-39-216 JOEL CHAVEZ EQUIPMENT RENTALS 4543 8/29/2012 31,872.00 T P-39-219 JOEL CHAVEZ EQUIPMENT RENTALS 4586 9/15/2012 384.00 T P-39-221 JOEL CHAVEZ EQUIPMENT RENTALS 4543 8/29/2012 408.00 T P-39-223 JUAN REYES SUMPAYCO MOVERS 0187 7/27/2012 47,400.00 T P-39-225 JUAN REYES SUMPAYCO MOVERS 0195 8/24/2012 60,000.00 T P-39-227 JUAN REYES SUMPAYCO MOVERS 0190 8/10/2012 840.00 T P-39-229 JUAN REYES SUMPAYCO MOVERS 0251 9/14/2012 5,280.00 T P-39-233 KUEHNE AND NAGEL, INC. 151690 9/17/2012 38,765.05 T P-39-238 KUEHNE AND NAGEL, INC. 151574 9/7/2012 41,405.05 T P-39-242 KUEHNE AND NAGEL, INC. 154951 8/31/2012 1,458.48 T P-39-244 KUEHNE AND NAGEL, INC. 151572 8/24/2012 6,416.52 T P-39-246 KUEHNE AND NAGEL, INC. 154951 8/31/2012 1,080.00 T P-39-248 KUEHNE AND NAGEL, INC. 151792 8/17/2012 2,063.50 T P-39-251 KUEHNE AND NAGEL, INC. 149150 8/10/2012 7,915.40 T P-39-258 KUEHNE AND NAGEL, INC. 151791 8/3/2012 5,364.46 T P-39-262 KUEHNE AND NAGEL, INC. 151681 7/27/2012 2,099.22 T P-39-265 LTC MULTI-SERVICES, INC. 2543 9/28/2012 189,245.21 T P-39-271 LTC MULTI-SERVICES, INC. 2539 9/21/2012 3,618.30 T P-39-273 LTC MULTI-SERVICES, INC. 2529 9/7/2012 4,681.80 T P-39-276 LTC MULTI-SERVICES, INC. 2444 8/31/2012 3,285.67 T P-39-278 LTC MULTI-SERVICES, INC. 2437 8/10/2012 17,914.08 T P-39-280 LTC MULTI-SERVICES, INC. 2433 7/27/2012 18,116.23 T P-39-295 LTC MULTI-SERVICES, INC. 2432 7/27/2012 16,322.93 MHON TRADING AND T P-39-302 RADIATOR REPAIR SHOP 8859 9/14/2012 5,303.57 T P-39-304 MMG CORPORATION 10269 9/7/2012 960.00 T P-39-306 NANDZ ENTERPRISES 0259 8/17/2012 2,089.28 T P-39-315 PNOC EXPLORATION CORPORATION 89518 9/14/2012 399.51 T P-39-317 PNOC EXPLORATION CORPORATION 89556 8/17/2012 4,710.40 T P-39-321 PNOC EXPLORATION CORPORATION 89518 9/14/2012 3,720.00 T P-39-323 RICHMONDE HOTEL ORTIGAS 83996 7/27/2012 21,057.08 T P-39-327 RAF INTERNATIONAL FORWARDING 219466 8/10/2012 83.55 T P-39-329 RAF INTERNATIONAL FORWARDING 218838 7/13/2012 165.17 T P-39-331 RAQUE TRADING & SERVICES 119 9/7/2012 4,575.00 T P-39-333 RICHVILLE HOTEL MANAGEMENT, INC. 127096 9/14/2012 3,561.60 T P-39-335 RICHVILLE HOTEL MANAGEMENT, INC. 127089 9/7/2012 874.80 T P-39-339 STALWART REALTY, INC. 3778 7/27/2012 3,380.31 T P-39-349 STARCLEAN JANITORIAL SERVICES 0442 9/14/2012 803.57 STEELMASTER CUSTOMS T P-39-351 BROKERAGE, INC. 2581 8/17/2012 18,214.29 T P-39-353 SUPPLY OILFIELD SERVICES, INC. 17922 8/17/2012 785.46 T P-39-357 SUPPLY OILFIELD SERVICES, INC. 17900 8/10/2012 25,740.60 T P-39-365 TECHNOLOGY EXPORTS SVCS CORP 2080 9/14/2012 23,370.26 T P-39-367 TECHNOLOGY EXPORTS SVCS CORP 2073 9/4/2012 19,714.29 T P-39-369 TECHNOLOGY EXPORTS SVCS CORP 2065 8/3/2012 13,800.00 T P-39-371 TECHNOLOGY EXPORTS SVCS CORP 2066 8/3/2012 1,317.86 TOTAL MATERIAL HANDLING T P-39-377 PRODUCTS, INC. 0069 9/21/2012 1,071.43 TOTAL MATERIAL HANDLING T P-39-380 PRODUCTS, INC. 0067 9/14/2012 857.14 TOTAL MATERIAL HANDLING T P-39-383 PRODUCTS, INC. 0066 9/14/2012 1,258.93 TOTAL MATERIAL HANDLING T P-39-387 PRODUCTS, INC. 0068 8/3/2012 11,035.71 TOTAL MATERIAL HANDLING T P-39-392 PRODUCTS, INC. 0065 8/24/2012 3,642.87 TOTAL MATERIAL HANDLING T P-39-399 PRODUCTS, INC. 0064 8/22/2012 964.29 TOTAL MATERIAL HANDLING T P-39-403 PRODUCTS, INC. 0061 8/8/2012 2,512.51 TOTAL MATERIAL HANDLING T P-39-411 PRODUCTS, INC. 0062 8/8/2012 8,035.71 T P-39-413 VILMAL PICK-UP TRUCK RENTAL 2058 8/31/2012 2,571.43 T P-39-415 VILMAL PICK-UP TRUCK RENTAL 2057 8/31/2012 28,500.01 T P-39-419 VILMAL PICK-UP TRUCK RENTAL 2059 8/31/2012 7,328.57 T P-39-421 ACE TUBULAR SERVICES LTD 0370 12/28/2012 8,039.46 D MIDLAND PACIFIC HOTEL T P-39-430 BATANGAS CORP 1421 11/12/2012 5,678.77 D MIDLAND PACIFIC HOTEL T P-39-432 BATANGAS CORP 1422 11/16/2012 6,546.41 D MIDLAND PACIFIC HOTEL T P-39-434 BATANGAS CORP 1539 12/21/2012 4,340.84 D MIDLAND PACIFIC HOTEL T P-39-436 BATANGAS CORP 1421 11/12/2012 2,861.34 D MIDLAND PACIFIC HOTEL T P-39-438 BATANGAS CORP 1422 11/16/2012 3,935.25 D MIDLAND PACIFIC HOTEL T P-39-440 BATANGAS CORP 1539 12/21/2012 1,957.95 D MIDLAND PACIFIC HOTEL T P-39-442 BATANGAS CORP 1291 10/22/2012 6,863.99 T P-39-444 DENROW TRUCKING 1823 12/7/2012 90,000.00 DHL GLOBAL FORWARDING T, LL P-39-446 (PHILS),INC. 88457 12/20/2012 2,534.43 DHL GLOBAL FORWARDING T P-39-450 (PHILS),INC. 88458 12/20/2012 1,261.58 DHL GLOBAL FORWARDING T P-39-452 (PHILS),INC. 88459 12/20/2012 260.53 DHL GLOBAL FORWARDING T P-39-454 (PHILS),INC. 88460 12/20/2012 2,085.90 DHL GLOBAL FORWARDING T P-39-458 (PHILS),INC. 86716 11/9/2012 4,147.40 T P-39-465 DOWJONES, INC. 5448 10/19/2012 6,034.74 T P-39-476 DOWJONES, INC. 5460 11/9/2012 93,666.24 FELPET TRADING & MATERIALS T P-39-481 RECOVERY SERVICES 0019 10/30/2012 51,428.57 FELPET TRADING & MATERIALS T P-39-483 RECOVERY SERVICES 0020 11/14/2012 9,428.57 FELPET TRADING & MATERIALS T P-39-485 RECOVERY SERVICES 0017 10/9/2012 1,071.40 FELPET TRADING & MATERIALS T P-39-487 RECOVERY SERVICES 0025 12/18/2012 964.29 FELPET TRADING & MATERIALS T P-39-489 RECOVERY SERVICES 0024 12/7/2012 1,928.57 FELPET TRADING & MATERIALS T P-39-491 RECOVERY SERVICES 0022 12/7/2012 21,924.00 FIRST PHIL SKILLS & T P-39-493 EQUIPMENT TESTING CORP 3154 10/5/2012 11,180.57 T P-39-495 JHAN LODELYN TRUCKING 2162 11/16/2012 428.57 T P-39-497 JHAN LODELYN TRUCKING 1740 12/21/2012 428.57 T P-39-499 JOEL CHAVEZ EQUIPMENT RENTALS 4709 12/7/2012 31,968.00 T P-39-502 JOEL CHAVEZ EQUIPMENT RENTALS 4710 12/7/2012 24,288.00 T P-39-505 JOEL CHAVEZ EQUIPMENT RENTALS 4676 11/16/2012 24,336.00 T P-39-508 JUAN REYES SUMPAYCO MOVERS 0283 12/28/2012 109,800.00 T P-39-511 JUAN REYES SUMPAYCO MOVERS 0279 12/20/2012 136,800.00 T P-39-515 JUAN REYES SUMPAYCO MOVERS 0262 10/19/2012 960.00 T P-39-517 KUEHNE AND NAGEL, INC. 156951 12/7/2012 5,880.00 T P-39-520 KUEHNE AND NAGEL, INC. 151595 12/3/2012 1,440.00 T P-39-522 KUEHNE AND NAGEL, INC. 154513 11/16/2012 3,446.04 T P-39-528 KUEHNE AND NAGEL, INC. 155213 10/12/2012 1,002.48 T P-39-532 LTC MULTI-SERVICES, INC. 2610 10/29/2012 50,028.33 T P-39-539 LTC MULTI-SERVICES, INC. 2560 11/9/2012 41,204.16 T P-39-543 LTC MULTI-SERVICES, INC. 2634 12/3/2012 49,763.87 T P-39-550 LTC MULTI-SERVICES, INC. 2645 12/17/2012 51,956.51 T P-39-581 PNOC EXPLORATION CORPORATION 49270 12/20/2012 4,560.00 T P-39-583 PNOC EXPLORATION CORPORATION 49271 12/28/2012 782.40 T, LL P-39-585 PNOC EXPLORATION CORPORATION 49258 12/12/2012 8,344.52 T P-39-589 PNOC EXPLORATION CORPORATION 89411 11/9/2012 8,452.07 T P-39-593 RAQUE TRADING & SERVICES 0154 12/28/2012 10,885.44 T P-39-597 RAQUE TRADING & SERVICES 0132 11/9/2012 10,276.06 SCIENTIFIC DRILLING T P-39-601 INTERNATIONAL, INC. 1111 10/29/2012 1,105,550.82 T P-39-605 STARCLEAN JANITORIAL SERVICES 0447 12/7/2012 803.57 T P-39-607 SUPPLY OILFIELD SERVICES, INC. 18168 12/4/2012 258.00 T P-39-609 SUPPLY OILFIELD SERVICES, INC. 18169 12/4/2012 560.10 T P-39-612 SUPPLY OILFIELD SERVICES, INC. 18134 11/16/2012 1,672.68 T P-39-614 TECHNOLOGY EXPORTS SERVICES CORP 2115 12/19/2012 4,114.29 T P-39-616 TECHNOLOGY EXPORTS SERVICES CORP 2103 10/29/2012 23,370.30 T P-39-618 TECHNOLOGY EXPORTS SERVICES CORP 2116 12/19/2012 125,633.70 T P-39-621 TECHNOLOGY EXPORTS SERVICES CORP 2114 12/19/2012 36,223.97 TELNET INFORMATION SYSTEM T P-39-624 SERVICES 0046 12/20/2012 369.94 TELNET INFORMATION SYSTEM T P-39-626 SERVICES 0047 12/20/2012 3,096.43 T P-39-628 RICHMONDE HOTEL ORTIGAS 88940 11/9/2012 30,259.17 TOTAL MATERIAL HANDLING T P-39-635 PRODUCTS, INC. 0080 12/28/2012 642.86 TOTAL MATERIAL HANDLING T P-39-638 PRODUCTS, INC. 0074 11/23/2012 642.86 TOTAL MATERIAL HANDLING T P-39-641 PRODUCTS, INC. 0071 10/30/2012 2,250.01 TOTAL MATERIAL HANDLING T P-39-646 PRODUCTS, INC. 0070 10/22/2012 16,714.28 T P-39-651 VILMAL PICK-UP TRUCK RENTAL 2152 12/7/2012 15,829.54 T P-39-655 VILMAL PICK-UP TRUCK RENTAL 2086 11/9/2012 12,214.29 W P-42-001 CONSTANTINO GUADALQUIVER & CO 8153 7/13/2012 4,524.00 D MIDLAND PACIFIC HOTEL W P-42-003 BATANGAS CORP 1009 7/16/2012 4,994.25 W P-42-008 PNOC EXPLORATION CORPORATION 87425 7/13/2012 7,240.94 W P-42-013 PNOC EXPLORATION CORPORATION 87424 7/13/2012 4,822.25 STEELMASTER CUSTOMS W P-42-017 BROKERAGE, INC. 2572 7/13/2012 10,714.29 W P-42-019 SUPPLY OILFIELD SERVICES, INC. 17921 8/17/2012 553.86 SYCIP SALAZAR HERNANDEZ W P-42-021 GATMAITAN 5078761 8/3/2012 2,344.41 TOTAL MATERIAL HANDLING W P-42-026 PRODUCTS, INC. 0059 7/20/2012 321.43 TOTAL MATERIAL HANDLING W P-42-028 PRODUCTS, INC. 0055 7/6/2012 1,071.43 D MIDLAND PACIFIC HOTEL W P-42-031 BATANGAS CORP 1156 10/3/2012 13,164.58 FELPET TRADING & MATERIALS W P-42-034 RECOVERY SERVICES 0018 10/30/2012 60,857.14 W P-42-037 JHAN LODELYN TRUCKING 2174 11/24/2012 267.86 W P-42-039 JOEL CHAVEZ EQUIPMENT RENTALS 4612 10/2/2012 86,400.00 W P-42-045 JOEL CHAVEZ EQUIPMENT RENTALS 4631 10/19/2012 24,336.00 W P-42-048 JUAN REYES SUMPAYCO MOVERS 254 10/4/2012 4,800.00 W P-42-050 LTC MULTI-SERVICES, INC. 2558 10/19/2012 36,003.95 W P-42-055 LTC MULTI-SERVICES, INC. 2603 10/12/2012 9,431.67 W P-42-060 LTC MULTI-SERVICES, INC. 2545 10/5/2012 141,897.80 W P-42-070 PNOC EXPLORATION CORPORATION 89548 10/12/2012 4,278.00 W P-42-072 PNOC EXPLORATION CORPORATION 89547 10/12/2012 4,064.86 STEELMASTER CUSTOMS W P-42-075 BROKERAGE, INC. 2611 10/12/2012 1,285.71 W P-42-077 SUPPLY OILFIELD SERVICES, INC. 18028 10/5/2012 545.46 W P-42-080 TECHNOLOGY EXPORTS SVCS CORP 2091 10/12/2012 62,816.85 W P-42-082 TECHNOLOGY EXPORTS SVCS CORP 2102 10/29/2012 62,816.85 W P-42-084 TECHNOLOGY EXPORTS SVCS CORP 2086 10/5/2012 2,219.14 W P-42-086 TECHNOLOGY EXPORTS SVCS CORP 2087 10/5/2012 23,370.30 W P-42-088 RICHMONDE HOTEL ORTIGAS 88940 11/9/2012 449.87 TOTAL MATERIAL HANDLING W P-42-090 PRODUCTS, INC. 0070 10/22/2012 964.29 W P-42-094 VILMAL PICK-UP TRUCK RENTAL 2090 11/9/2012 5,758.75 W P-42-096 VILMAL PICK-UP TRUCK RENTAL 2087 11/9/2012 1,767.97 W P-42-098 VILMAL PICK-UP TRUCK RENTAL 2088 11/9/2012 16,692.86 W P-42-101 VILMAL PICK-UP TRUCK RENTAL 2089 11/9/2012 10,823.49 Subtotal 4,526,741.65 Supporting documents not found in the records W LTC MULTI-SERVICES, INC. 2610 10/29/2012 5,047.90 BJ SERVICES COMPANY KK (SINGAPORE) PTE LTD 121601B07P 4/23/2012 50,762.00 Subtotal 55,809.90 VAT amount was altered but countersignature is different from VAT invoice preparer S P-38-159 HRI INDUSTRIAL MILL SUPPLY CORP 26525 10/17/2012 671.85 TOTAL 10,669,111.15 =========== In sum, out of the P11,959,466.58 total input VAT per petitioner's Schedule of Purchases, only the amount of P275,518.10 represents petitioner's valid input VAT, computed as follows: SDAaTC Input VAT per VAT Returns P11,989,902.83 Less: Disallowances Difference between VAT returns and Schedule of Purchases P30,436.25 Per Independent CPA Report 1,014,837.33 Per the Court's further verification P10,669,111.15 11,714,384.73 Valid Input VAT P275,518.10 =========== Fourth and Fifth Requisites: Petitioner had no excess input VAT which may be attributable to zero- rated sales However, petitioner's properly substantiated input VAT of P275,518.10 is way lower when compared with petitioner's output VAT liability for the subject period of claim in the amount of P3,976,944.37, detailed as follows: Period Covered Exhibit Output VAT 2nd Quarter 2012 P-3-4 P7,758,772.41 Less: April 2012 P-19 5,859,791.65 May to June 2012 P1,898,980.76 3rd Quarter 2012 P-3-10 1,298,525.53 4th Quarter 2012 P-3-15 524,634.38 Total Output VAT per VAT Returns P3,722,140.67 Add: 12% VAT due on the P2,123,364.18 vatable sales erroneously reported as zero-rated sales in the 3rd quarter (Exhibit "P-16",Annex K) 254,803.70 Total Output VAT, as adjusted P3,976,944.37 =========== While petitioner's Quarterly VAT Return 50 for the second quarter of 2012 reflected the amount of P3,985,253.12 as "Input Tax Carried Over from Previous Period," still, petitioner failed to present VAT invoices or receipts to prove the existence of such amount. Hence, the input tax carry-over of P3,985,253.12 cannot be validly applied against petitioner's output tax pursuant to Section 110 (A) in relation to Section 110 (B) of the NIRC of 1997, as amended, which states: SEC. 110. Tax Credits. A. Creditable Input Tax. (1) Any input tax evidenced by a VAT invoice or official receipt issued in accordance with Section 113 hereof on the following transactions shall be creditable against the output tax: xxx xxx xxx (B) Excess Output or Input Tax. If at the end of any taxable quarter the output tax exceeds the input tax, the excess shall be paid by the VAT-registered person. If the input tax exceeds the output tax, the excess shall be carried over to the succeeding quarter or quarters: xxx Considering that there is no excess input VAT which may be the subject of a claim for refund or tax credit certificate under Section 112 (A) of the NIRC of 1997, as amended, the instant claim must be denied. Well-settled in this jurisdiction is the fact that actions for tax refund, as in this case, are in the nature of a claim for exemption and the law is construed in strictissimi juris against the taxpayer. The pieces of evidence presented entitling a taxpayer to an exemption are also strictissimi scrutinized and must be duly proven. 51 WHEREFORE ,premises considered, the instant Petition for Review is DENIED for lack of merit. SO ORDERED. (SGD.) MA. BELEN M. RINGPIS-LIBAN Associate Justice Lovell R. Bautista and Esperanza R. Fabon-Victorino, JJ. ,concur. Footnotes 1. Par. 1, Summary of Admitted Facts, Joint Stipulation of Facts and Issues (JSFI), docket ,p. 230. 2. Exhibit "P-1". 3. Exhibit "P-2". 4. Exhibit "P-5". 5. Par. 3, Summary of Admitted Facts, JSFI, docket ,p. 231; Exhibit "P-6". 6. Exhibit "P-7". 7. Par. 4, Summary of Admitted Facts, JSFI, docket ,p. 231. 8. Docket ,pp. 90-93. 9. Notice of Pre-Trial Conference, docket ,p. 97. 10. Docket ,p. 119. 11. Docket ,pp. 100-103. 12. Docket ,pp. 107-114. 13. Docket ,pp. 230-234. 14. Docket ,pp. 259-264. 15. Minutes of the Hearing dated March 23, 2015, docket ,p. 277. 16. Minutes of the Hearing dated April 20, 2015, docket ,p. 284; Exhibit "P-14". 17. Minutes of the Hearing dated May 18, 2015, docket ,p. 402; Exhibit "P-15", docket ,pp. 389-399. 18. Formal Offer of Evidence, docket ,pp. 406-420. 19. Docket ,pp. 427-428 and 443-445, respectively. 20. Minutes of the hearing dated February 1, 2016, docket ,p. 446. 21. Docket ,pp. 450-481. 22. Docket ,pp. 484-494. 23. Resolution dated March 8, 2016, docket ,p. 496. 24. Stipulation of Issues, JSFI, docket ,p. 231. 25. Exhibit "P-5". 26. Exhibit "P-7". 27. Exhibit "P-2". 28. Exhibit "P-3-4",line 17. 29. Exhibit "P-19-1",line 14. 30. Exhibit "P-3-10",line 17. 31. Exhibit "P-3-15",line 17. 32. Exhibit "P-21". 33. Exhibit "P-10-1". 34. Exhibit "P-10-2". 35. Exhibit "P-16", docket ,pp. 286-325. 36. Docket ,p. 342. 37. Docket ,p. 343. 38. Docket ,p. 344. 39. Docket ,p. 345. 40. Docket ,p. 341. 41. Exhibit "P-3-4",lines 21F, 21H, and 21J. 42. Exhibit "P-19-1",lines 18F, 18H, and 18J. 43. Exhibit "P-3-10",lines 21F, 21H, and 21J. 44. Exhibit "P-3-15",lines 21F, 21H, and 21J. 45. Exhibit "P-5" and Petition for Review, docket ,pp. 17-30. 46. Exhibit "P-26". 47. Exhibit "P-16",Annex Q, docket ,p. 348. 48. Exhibits "P-38" to "P-55". 49. Docket ,pp. 368-383. 50. Exhibit "P-3-4",line 20A. 51. Kepco Philippines Corporation vs. Commissioner of Internal Revenue , G.R. No. 179961, January 31, 2011.