ING Bank vs. CIR Summary

ING BANK N.V., ENGAGED IN BANKING OPERATIONS IN THE PHILIPPINES AS ING BANK N.V. MANILA BRANCH, PETITIONER, VS. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.

G.R. No. 167679 | 2015-07-22

Withholding taxes; the duty to withhold the tax on compensation and bonuses arises upon their accrual, not upon actual payment
Taxpayers with pending tax cases may avail themselves of the tax amnesty program under Republic Act No. 9480
Withholding tax on compensation; The obligation of the employer to deduct and withhold the tax arises at the time the income was paid or accrued or recorded as an expense in the employer's books, whichever comes first

SECOND DIVISION

DECISION

LEONEN, J.:

Qualified taxpayers with pending tax cases may still avail themselves of the tax amnesty program under Republic Act No. 9480,^[1] otherwise known as the 2007 Tax Amnesty Act. Thus, the provision in BIR Revenue Memorandum Circular No. 19-2008 excepting "[i]ssues and cases which were ruled by any court (even without finality) in favor of the BIR prior to amnesty availment of the taxpayer" from the benefits of the law is illegal, invalid, and null and void.^[2] The duty to withhold the tax on compensation arises upon its accrual.

This is a Petition for Review^[3] appealing the April 5, 2005...