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CIR v. CENTRAL LUZON DRUG CORPORATION

This case has been cited 2 times or more.

2008-06-12
CARPIO, J.
The issues presented are not novel. In two similar cases involving the same parties where respondent lodged its claim for tax credit on the senior citizens' discount granted in 1995[22] and 1996,[23] this Court has squarely ruled that the 20% senior citizens' discount required by RA 7432 may be claimed as a tax credit and not merely a tax deduction from gross sales or gross income.  Under RA 7432, Congress granted the tax credit benefit to all covered establishments without conditions. The net loss incurred in a taxable year does not preclude the grant of tax credit because by its nature, the tax credit may still be deducted from a future, not a present, tax liability. However, the senior citizens' discount granted as a tax credit cannot be refunded.
2008-02-26
PUNO, CJ.
Respondent's April 29, 1998 motion for reconsideration[14] was denied. Thus, respondent filed before the Court of Appeals a petition for mandamus and certiorari, docketed as CA-G.R. Sp. No. 48512.