Article 78p. 78

NATIONAL INTERNAL REVENUE CODE TAXATION, TARIFF and CUSTOMS LAWS

(h)

The

conditions

to

be

observed by revenue

officers

respecting

the

enforcement

of

Title

III

imposing a tax on estate of a decedent, and other

transfers mortis causa, as well as on gifts and such

other rules and regulations which the Commissioner

may consider suitable for the enforcement of the

said Title III;

(i) The manner in which tax returns, information and

reports shall be prepared and reported and the tax

collected and paid, as well as the conditions under

which evidence of payment shall be furnished the

taxpayer, and the preparation and publication of tax

statistics;

(j) The manner in which internal revenue taxes, such

as income tax, including withholding tax, estate and

donor's taxes, value-added tax, other percentage

taxes, excise taxes and documentary stamp taxes

shall be paid through the collection officers of the

Bureau

of

Internal

Revenue

or

through

duly

authorized agent banks which are hereby deputized

to receive payments of such taxes and the returns,

papers and statements that may be filed by the

taxpayers in connection with the payment of the tax:

Provided, however, That notwithstanding the other

provisions of this Code prescribing the place of filing

of returns and payment of taxes, the Commissioner

may, by rules and regulations, require that the tax

returns, papers and statements that may be filed by

the taxpayers in connection with the payment of the

tax. Provided, however, That notwithstanding the

other provisions of this Code prescribing the place of

filing

of

returns

and

payment

of

taxes,

the

Commissioner may, by rules and regulations require

that the tax returns, papers and statements and

taxes

of

large

taxpayers

be

filed

and

paid,

respectively, through collection officers or through

duly authorized agent banks: Provided, further, That

the Commissioner can exercise this power within six

(6) years from the approval of Republic Act No. 7646

or

the

completion

of

its

comprehensive

computerization program, whichever comes earlier:

Provided, finally, That separate venues for the Luzon,

Visayas and Mindanao areas may be designated for

the filing of tax returns and payment of taxes by said

large taxpayers.

For the purpose of this Section, ' large taxpayer ' means a

taxpayer who satisfies any of the following criteria;

(1)

Value-Added

Tax

(VAT)

-

Business

establishment with VAT paid or payable of at least

One hundred thousand pesos (P100, 000) for any

quarter of the preceding taxable year;

(2) Excise tax - Business establishment with excise

tax paid or payable of at least One million pesos (P1,

000,000) for the preceding taxable year;

(3) Corporate Income Tax - Business establishment

with annual income tax paid or payable of at least

One million pesos (P1,000,000) for the preceding

taxable year; and

(4) Withholding tax - Business establishment with

withholding tax payment or remittance of at least

One million pesos (P1,000,000) for the preceding

taxable year.

Provided, however, That the Secretary of Finance, upon

recommendation of the Commissioner, may modify or

add to the above criteria for determining a large taxpayer

after considering such factors as inflation, volume of

business,

wage

and

employment

levels, and similar

economic factors.

The penalties prescribed under Section 248 of this Code

shall be imposed on any violation of the rules and

regulations issued by the Secretary of Finance, upon

recommendation of the Commissioner, prescribing the

place of filing of returns and payments of taxes by large

taxpayers.

SEC.

246.

Non-

Retroactivity

of

Rulings.

-

Any

revocation, modification or reversal of any of the rules and

regulations

promulgated

in

accordance

with

the

preceding Sections or any of the rulings or circulars

promulgated by the Commissioner shall not be given

retroactive application if the revocation, modification or

reversal will be prejudicial to the taxpayers, except in the

following cases:

(a)

Where the taxpayer deliberately misstates or

omits

material

facts

from

his

return

or

any

document required of him by the Bureau of Internal

Revenue;

(b)

Where the facts subsequently gathered by the

Bureau of Internal Revenue are materially different

from the facts on which the ruling is based; or

(c) Where the taxpayer acted in bad faith.

TITLE X STATUTORY OFFENSES AND

PENALTIES

(As amended by RA No. 10021, 10963)

CHAPTER I ADDITIONS TO THE TAX

SEC. 247. General Provisions. -

(a) The additions to the tax or deficiency tax prescribed in

this Chapter shall apply to all taxes, fees and charges

imposed in this Code. The Amount so added to the tax

shall be collected at the same time, in the same manner

and as part of the tax.

(b) If the withholding agent is the Government or any of

its agencies, political subdivisions or instrumentalities, or

a

government-owned

or

controlled

corporation,

the

employee thereof responsible for the withholding and

remittance of the tax shall be personally liable for the

additions to the tax prescribed herein.

(c) The term ' person ', as used in this Chapter, includes an

officer or employee of a corporation who as such officer,

employee or member is under a duty to perform the act

in respect of which the violation occurs.

SEC. 248. Civil Penalties. -

(A) There shall be imposed, in addition to the tax required

to be paid, a penalty equivalent to twenty-five percent

(25%) of the amount due, in the following cases:

(1)

Failure to file any return and pay the tax due

thereon as required under the provisions of this

Code

or

rules

and

regulations

on

the

date

prescribed; or

(2)

Unless

otherwise

authorized

by

the

Commissioner,

filing

a

return

with

an

internal

revenue officer other than those with whom the

return is required to be filed; or

(3) Failure to pay the deficiency tax within the time

prescribed

for

its

payment

in

the

notice

of

assessment; or

(4)

Failure to pay the full or part of the amount of

tax shown on any return required to be filed under

the provisions of this Code or rules and regulations,

or the full amount of tax due for which no return is

required to be filed, on or before the date prescribed

for its payment.

(B) In case of willful neglect to file the return within the

period

prescribed

by

this

Code

or

by

rules

and

regulations, or in case a false or fraudulent return is

willfully made, the penalty to be imposed shall be fifty

percent (50%) of the tax or of the deficiency tax, in case,

any payment has been made on the basis of such return

before the discovery of the falsity or fraud: Provided, That

a substantial under-declaration of taxable sales, receipts

or income, or a substantial overstatement of deductions,

as determined by the Commissioner pursuant to the

rules and regulations to be promulgated by the Secretary

© Compiled by RGL

78 of 201