Vera v Cuevas

Sy Po V CTA

POWERS AND DUTIES IN GENERAL OF BIR

As the act of sewing skimmed milk without first paying the specific tax thereon is no longer unlawful and the enforcement of the requirement in
regard to the placing of the proper legend on its immediate containers is a subject which does not come within the jurisdiction of the Bureau of
Internal Revenue, the penal provisions of Section 177 of the said Code having been repealed by Republic Act No. 463. The Bureau of Internal
Revenue may claim police power only when necessary in the enforcement of its principal powers and duties consisting of the "collection of all
national internal revenue taxes, fees and charges, and the enforcement of all forfeitures, penalties and fines connected therewith." The
enforcement of Section 169 entails the promotion of the health of the nation and is thus unconnected with any tax purpose.
BEST EVIDENCE OBTAINABLE
The law is specific and clear. The rule on the "best evidence obtainable" applies when a tax report required by law for the purpose of assessment is
not available or when the tax report is incomplete or fraudulent. In the instant case, the persistent failure of the late Po Bien Sing and the herein
petitioner to present their books of accounts for examination for the taxable years involved left the Commissioner of Internal Revenue no other
legal option except to resort to the power conferred upon him under Section 16 of the Tax Code.
NET WORTH METHOD OF DETERMINING UNREPORTED INCOME

Hermoso v CIR
CIR vs. Li Yao
POWERS AND DUTIES OF INTERNAL REVENUE OFFICERS
People v Rubio
Sy Po V CTA

Caltex v CA
CIR v Benipayo

Cagayan Robina v CTA

Republic v Dela Rama
City Lumber Inc. v

MEANING AND NATURE OF ASSESSMENT FOR INTERNAL REVENUE TAXES

Tax assessments by tax examiners are presumed correct and made in good faith. The taxpayer has the duty to prove otherwise. In the absence of
proof of any irregularities in the performance of duties, an assessment duly made by a Bureau of Internal Revenue examiner and approved by his
superior officers will not be disturbed. All presumptions are in favor of the correctness of tax assessments.
An assessment fixes and determines the tax liability of a taxpayer. As soon as it is served, an obligation arises on the part of the taxpayer concerned
to pay the amount assessed and demanded. Hence, assessments should not be based on mere presumptions no matter how reasonable or logical
said presumptions may be. In order to stand the test of judicial scrutiny, the assessment must be based on actual facts. The presumption of
correctness of assessment being a mere presumption cannot be made to rest on another presumption that the circumstances in 1952 and 1953 are
presumed to be the same as those existing in 1949 to 1951 and July 1955. In the case under consideration there are no substantial facts to support
the assessment in question. ...
Tax assessments by tax examiners are presumed correct and made in good faith, with the taxpayer having the burden of proving otherwise.
REQUISITES FOR A VALID ASSESSMENT OF INTERNAL REVENUE TAXES
It appearing that the person liable for the payment of the tax did not receive the assessment, the assessment could not become final and executory.
OFFICERS AUTHORIZED TO MAKE ASSESSMENTS
The order in question (Memorandum Order No. V-634 dated July 3, 1956) was applicable only to subordinate officers of the Bureau of Internal

Domingo

Revenue and could not bind the Commissioner himself, who has been entrusted by law to make final assessments. The Commissioner cannot
delegate this power to make a final assessment to his subordinate. Delegatus non potest delegare; the person to whom an office or duty is
delegated cannot lawfully devolve the duty on another.

Meralco Securities
Corp. v Savellano
Maceda v Macareg
PRE ASSESSMENT NOTICE WHEN AND WHEN NOT REQUIRED
CIR v CA
Nava v CIR
CIR v PDRC

Neither the NIRC nor the revenue regulations governing the protest of assessments [11] provide a specific definition or form of an assessment.
However, the NIRC defines the specific functions and effects of an assessment. To consider the affidavit attached to the Complaint as a proper
assessment is to subvert the nature of an assessment and to set a bad precedent that will prejudice innocent taxpayers. (Study what is the contents
of an assessment plus the requirement of sending) In the present case, the revenue officers Affidavit merely contained a computation of
respondents tax liability. It did not state a demand or a period for payment. Worse, it was addressed to the justice secretary, not to the taxpayers.

Arches v Belosillo
CIR v Island Garment
Mfg. Corp.
Basilan Estate Inc. v
CIR
CUIR v. NLRC

[T]he claim of the Bureau of Internal Revenue for unpaid tobacco inspection fees constitutes a claim for unpaid internal revenue taxes which gives
rise to a tax lien upon all the properties and assets, movable or immovable, of the insolvent as taxpayer.
Lien created by unpaid wages shall only be prioritize if the corporation is undergoing liquidation.