9.) Javier vs. Ancheta PDF
9.) Javier vs. Ancheta PDF
9.) Javier vs. Ancheta PDF
o Tli
:-'O!J~T
OF T.;
/ MELCHOR J . JAVIER , JR . ,
Peti tione r ,
C.T . A. CASE NO. 339 3
- .ver su s ...
RUBEN B. ANCHETA in is
capac i ty as Commiss i oner
of Interna l Revenue ,
Respondent
X .. - -
.- .- . .- .- .- .X
DE C I S I 0 N
As
all e ge~
by
19 8
DECISION ..,.
CTA CASE NO . 3393
'
- 2 -
200
6. Th a t 01 or before Decembe r 15 ,
19 80 , t he peti t .i oner rec eive d a let.t er
from t:he acting Comm i ssione r of I n te rna l
Revenue dated November 14 , 1 980 t ogethe r
with i ncome assessment. no t ices f o r t he
years 1976 and 19 77 demanding that pe ti- .
tione r pay on or before Dec e mbe r 15, 1 980
the amount. o f Pl,615.9G and P9 , 287 ,2 97.Sl
as deficiency assessments for the years
197 6 and 197 7 respec t ive ly . A copy of
the let ter of the Acting Commiss ioner of
In t ernal Revenue da ted Novembe r 14 , 198 0
is attached hereto ma rked a s Anne x "A",
and copies of the asse ssment nc t.ic e s for
the years 1 976 and 1977 are atta ched
her eto mar ked Annexes "A-1" a nd "A-2 "
respect i vely .
-... ~
..
201
\~
t.h a ~--
the amoun t. of
err on e o~ s,
I)
1:;..
I )
by
ly
in
to
21
- 5 -
"A" of
the peti ti on f o r r ev i ew ,
.!211
Net income per r eturn
o
.. P
48,053.38
Add: Undec lared income
7 ,020,000.00
Ne t income pe r i nvestigation
P7 , 068,053.38
Less: Person a l & additiona l exemptions
5, 000. 0~
Net taxable i ncome
. P7,063.L053 . 38
Income tax d ue thereon
P4 , 899 , 377 . 00
Less: Amoun t already assessed
1 0 ,7 62.0 0
B a 1 a n c e
. . . . . . . . . . . . . P4 , 888 , 615 800
Add : 50% s urcha rge
o
2 ,444 , 308 . 00
1 4 % i n t . f r 3-15- 7 8 t o 7-31- 8 0 1 , 62 7 , 57 3 9 5
20% i n t . fr. 7~~ - a:o to
- 3.0_.8.0.
326,800.56
TOTAL AMOUNT DUE & COLLECT IBLE - ~~~~~ z~&~z ~~~
203
DECIS ION
CTA CASE 08
393
'
.6 -
os t , i f
r emi t.te
3 8- ~ 9 ,
CTA r ecor ds .. )
1.
~ ~ ~ ~ ~3 , 25 0 , 000 . 00
2.
Bank deposits - .- .- .- .- .- .- .- .- .- .- .
3.
4.
Legal f ees
5.
55 0 , 000 . 00
..e
.-
.-
.-
. -
.-
.-
.-
.-
.. .
150 , 000 . 00
315 , 000. 00
6.
7.
Household e xpenses
8.
Gambli ng l osse s
280 , 000 . 00
9.
900,0 00.0 0
60 , 000.00
P7 , 405 000 . 00
vvvvvvvvvvvvv
Petit.i oner ' s pos i tion i s tha t th'e a moun t r ec eived
by him fr om t he Me l lon Bank 11
. A. " is no t
u i .ncome
.a s
r ende ~ e d
no r ga i ns
o t pr o f i ts re a lized fr om business o r dealings in p r ope rty 1 a nd t hat under the r ule of eju sdem ge
eri~ ,
201
DEC I S I O
CTA CASE
O.
3.93
- .7
refe rs t:o
cornpe:ns a t.~ion
a nd
eal ings in
" To be conside r ed
i .nc:ome
sue.
prope~r ty ,
1111
( I?
20 5
- .8 -
... . ......
25 F . 2d 340)
~fr a ud u le nt
1.
graft
u.s.
11 9 2)~
illegal prize
Pat t erson
u. s.
t axable income .
259# 71 L. Ed . 1 03 7)
. .c ons ti tute
c on t~olling
Nationa l I nternal
20ti
DECISION - .
CTA CASE NO
39
"
.. .9 -
It de fines
~ gro s s
.....
'""'
The defini t i on
d eul t ~gs
in p ro- .
u. s .
Ed ~
788 .) .
According l y
th
20 '?
,~
- 10 -
.
'
c onstituent of ownership
s.
76 4 ~
u.s.
670 ,
678 ~
77 L. Ed . 1439 .) . Although
Po s se ssion is
~n s
synonymous
b~
c ompe lled
He r e , petitioner ' s
exerci s e
203
DECISIO
CTA CASE NO .
393
- ll -
r ecipi ~n ts
a s to ma ke the m t he
owne~ ....s..
He d emonstr a t ed
Bank'~
B ank
f unds by
p e tition~r
f or his own
w - ~c
it r eason-
e were t h e
74 L. Ed .
16 , 91 7.)
20 ~
- .1 2 -
freedom
....
""(.
is fr eedom
(Rutkin
vs. Unite d S tates , supr.ao ) . Col l ection of the r evenue c annot be delayed, nor sbou ld t he Government be
LeA
2g7 98
(National
Ci~ y
Bank vs .
2d 93 , 96 .) . The r e is no
gains ~
Certainly t here
i~
assai l ~
no r eason
Unite d States
~ wa s
r ecipient of some
21 0
DECISION -
CTA CASE
O. 3393
- .13 -
a gift bu
tu~ned
... ""'
These bond s
r ~~
Cour t s aid -
o.c .
211 ,
211
'
I
-,~ ~
.:.:.-....
DECISION - .
CTA CASE NOe 33 93
.1
\
..'.
P ~R .
Co . vs . Commissioner ,
7 Cir . 47 F. 2d . 990
t h~
fr a udu~ent .
~ cm en t,
to our
r eflec t ed
in h is 197 7 r eturn a
pre sume~
to be gi ft
of litigation"
From t h is ,
~~
21 2
r.
3393
5 -
at a
L- ~ 056 9 ,
Aug ust 23 ,
Error o r mi stake of f ac t o r l aw is no t
(I ns u l ar
L u~b e r
vs . Collector,
L -~190 ,
u ~der
t h e c ir cums t a nces , t he
s hould be de l eted .
With t he f orego i ng c onclu s i ons ar r ived at ,
t he 1977 def iciency income- tax lia b ili ty of pe ti- .
t ione r i s he reby c omputed as f ollows :
Net i nc ome per r e t urn
Add : Undeclared i ncome ..
Ne t i ncome pe r i nves tiga t i on
Le s s : Pe sona l & add i t ional
exemp tions
Ne t t axable i ncome
I ncome t ax due t he r eon
Less: Amoun t a l r e ady a s s es sed o
B ~ l a n
e
Add : 14~ i nte re s t fr om 3- l S- 18
t o 7 -~ 1 - ~ 0
2 0!5 i nte r e s t fr om 8-l.- 8.0
t o l -~4 - ~0 o
TOTAL AMOUNT DUE & COLLECTIBLE
0
21 3
p
48 , 05 3.3 8
. 7 , 020 , 00 0 .0.Q.
P7 , 068,053 .. 38
5,000 .0 0
P7 , 063,053 . 38
P4 , 899,3 77 . 00
10, 762 . 00
P4 , 888,615 e00
1, 625 , 46 4 . 48
282 ,4 53 . 32
6 ,79 6 , 532. 80
vvvvvvvvvvvvv
'
[.
II
.'
o~der ed
t o exceed the
~f
I nter~ a l
t he Na tlpna l
R~venu e
Code
mod ~ fied
Court .
as
With
t h e decision appealed fr om i s
i nqip~t~p
'. !
'
cost e~ .
in
~ he
'
'
' SO ORDERED .
Quezon City , Metro Ma n ila ,
J~:.:
27, 1983 .
~ Q_ )
AMANTE F~
Pr esidi ng J udge
WE CONCUR :
-::!::~~.~Ju~UIN
~~
Associate