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Escudero Electric Service Company vs. Tabios

ESCUDERO ELECTRIC SERVICE COMPANY, petitioner, vs. BENJAMIN N. TABIOS, in his capacity as Commissioner of Internal Revenue, respondent.

G.R. No. L-23014 | 1970-06-30

D E C I S I O N 


MAKALINTAL, J: 

This is a review of the decision of the Court of Tax Appeals in its Case No. 1226. 

Pursuant to Act No. 667, as amended, the Escudero Electric Service was granted municipal franchises to operate and maintain electric light, heat and power systems by the municipal council of Candelaria, Quezon, under Resolution No. 61, dated June 7, 1928 and by the municipal council of Calauan, Laguna under Resolution No. 11, dated March 19, 1929. The franchise for Candelaria fixed the rate of franchise tax at "uno porciento de los ingresos brutos que obtenga por dicho privilegio durante los primeros veinte (20)...