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Commissioner of Internal Revenue vs. Manila Machinery & Supply Company, et al.

COMMISSIONER OF INTERNAL REVENUE, petitioner, vs. MANILA MACHINERY & SUPPLY COMPANY and the COURT OF TAX APPEALS, respondents.

G.R. No. L-25653 | 1985-02-28

D E C I S I O N


PLANA, J.:

Appeal by the Commissioner of Internal Revenue from the decision of the Court of Tax Appeals in CTA Case No. 1250 ordering the refund to respondent Manila Machinery & Supply Co. of P21,620.36 allegedly erroneously paid as commercial broker's percentage tax.

The following partial stipulation of facts outlines the two different modes of business operation of private respondent (petitioner in the CTA):

"(1) as sales representative of certain United States manufacturers and/or suppliers, petitioner's transactions or activities are outlined as follows;

"(1) Philippine buyer ascertains from petitioner...