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BPI Vs. Commissioner of Internal Revenue

BANK OF THE PHILIPPINE ISLANDS (Formerly: Far East Bank and Trust Company), Petitioner, versus COMMISSIONER OF INTERNAL REVENUE, Respondent.

G.R. No. 174942 | 2008-03-07

D E C I S I O N


Tinga, J.:

The Bank of the Philippine Islands (BPI) seeks a review of the Decision[1] dated 15 August 2006 and the Resolution[2] dated 5 October 2006, both of the Court of Tax Appeals (CTA or tax court), which ruled that BPI is liable for the deficiency documentary stamp tax (DST) on its cabled instructions to its foreign correspondent bank and that prescription had not yet set in against the government.

The following undisputed facts are culled from the CTA decision:

Petitioner, the surviving bank after its merger with Far East Bank and Trust Company, is a corporation duly created and existing under the laws of the...