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Fort Bonifacio Development Corp. Vs. Commissioner of Internal Revenue, et al. [DISSENTING OPINION, J. CARPIO]

FORT BONIFACIO DEVELOPMENT CORPORATION, Petitioner, versus COMMISSIONER OF INTERNAL REVENUE, REGIONAL DIRECTOR, REVENUE REGION NO. 8, and CHIEF, ASSESSMENT DIVISION, REVENUE REGION NO. 8, BIR, Respondents. [DISSENTING OPINION, J. CARPIO]

G.R. No. 158885 | 2009-04-02

DISSENTING OPINION

CARPIO, J.:


I dissent. The majority inexplicably grants to petitioner a credit for an input value-added tax (VAT) that petitioner never paid and could never have paid. At the time of the sale by the government of the land, there was still no VAT on the sale of land, and the government as seller was, and still is today, not subject to VAT. There is no dispute that if the sale were to take place today, when there is already VAT on the sale of land, the sale transaction would still be VAT-free because the government is not subject to VAT, and hence petitioner as buyer cannot avail of any input VAT since petitioner can never...