21. Hydro Resources Vs. Ca

  • Uploaded by: Ansherina Paula Francisco
  • 0
  • 0
  • January 2021
  • PDF

This document was uploaded by user and they confirmed that they have the permission to share it. If you are author or own the copyright of this book, please report to us by using this DMCA report form. Report DMCA


Overview

Download & View 21. Hydro Resources Vs. Ca as PDF for free.

More details

  • Words: 311
  • Pages: 1
Loading documents preview...
21. HYDRO RESOURCES V. COURT OF TAX APPEALS ET AL. GR 80276; December 21, 1990 Facts: Hydro Resources Contractors Corporation entered into a contract of sale with the National Irrigation Authority (NIA) for the construction of Magat River Multipurpose Project in Isabella in August 1978. The contract provided that Hydro will import parts, construction equipment and tools and taxes and duties to be paid by NIA. Tools and equipment arrived during 1978 and 1979. NIA reneged on the contract. Therefore causing the transfer its sale to Hydro in seperate dates in December 6, 1982 and March 24, 1983. Executive Order 860 took effect during December 21, 1982 provided for 3% ad valorem tax on importations and it specifically provided that it should have no retroactive effect. During the contract of sale execution, Hydro was assessed and paid the said 3% ad valorem tax worth P 281,591 under protest. The Hydro when filing for refund with Customs Commissioner who indorsed the approval of the refund but was denied by the Secretary of Finance and motion was denied by the Court of Tax Appeals. Issue: W/N should the Executive Order 860 should have a retroactive effect. Held: No, The Court of Tax Appeals erred in applying a retroactive effect for the Executive Order therefore should not have been subject to the additional 3% ad valorem tax. In general tax laws are not retroactive in nature. Not only that Executive Order 860 specifically provides that it is not retroactive in nature, but also when the conditional contract of sale was executed, its had a suspensive condition contemplated in the Civil Code (Article 1187) where it returned ownership to the seller Hydro because NIA was not able to comply with its part of the contract, it was deemed executed as if during the constitution of the obligation which was in 1978 and not in 1982.

Related Documents

Pnb V. Hydro Resources
March 2021 0
Cang-vs-ca
January 2021 1
Zulueta Vs Ca
February 2021 0
Cyanamid Philippines Vs. Ca
February 2021 0
Bernardo Vs Ca
February 2021 0

More Documents from "Kherry Lo"