Republic Acts1 min read
Section 3Sec./Art. 3
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Section 204(1) of the National Internal Revenue Code, as amended, is hereby further amended to read as follows:
"Section 204. Authority of the Commissioner to compromise, abate, and refund / credit taxes. - The Commissioner may -
"(1) Compromise the payment of any internal revenue tax when-
"(a) A reasonable doubt as to the validity of the claim against the taxpayer exists; or
"(b) The financial position of the taxpayer demonstrates a clear inability to pay the assessed tax:Provided, however, That final assessments issued against large taxpayers as defined under Section 4 of this Code shall not be compromised for less than fifty percent (50%). Any such compromise involving said taxpayers lower than fifty percent (50%) shall be subject to the approval of the Secretary of Finance."
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