ING Bank vs. Commissioner of Internal Revenue (CIR)

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 | 2016-04-20

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

RESOLUTION

LEONEN, J.:

For resolution is respondent Commissioner of Internal Revenue's Motion for Partial Reconsideration^[1] of our Decision^[2] dated July 22, 2015, which partly granted the Rule 45 Petition of ING Bank N.V. Manila Branch.^[3] We set aside the assessments for deficiency documentary stamp taxes on petitioner's special savings accounts for the taxable years 1996 and 1997 and deficiency tax on onshore interest income for taxable year 1996 "in view of [its] availment of the tax amnesty program under Republic Act No. 9480."^[4] However, we affirmed the Court of Tax Appeals En...