Court of Appeals invalidates tax collection notice vs. popular restaurant

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The Court of Tax Appeals (CTA) has invalidated the hastily done P95 million tax collection notice sent by the Bureau of Internal Revenue to a popular chicken restaurant in Quezon City.

In upholding the decision of its Third Division, the CTA en banc said the Max‘s Restaurant branch in Sta. Mesa was not given enough time to answer the Preliminary Assessment Notice before it received the Formal Letter of Demand

Records showed that Max’s received the FLD on January 21, 2013, the last day it was supposed to answer the PAN. It stressed that the period of reply is an ordained procedure to give taxpayers the chance to explain, or rebut the findings of the PAN.

 

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