FACTS:
On 27 March 1998, respondent issued an Assessment Notice against petitioner informing the latter of its alleged deficiency income tax for the year 1993. Consequently, petitioner on 20 April 1998 filed a letter protest. In a letter dated 03 March 1999, petitioner was informed that its protest cannot be given due course because it was not elevated to the CTA within the 180-day reglementary period provided under Section 228 of the NIRC resulted to the finality of the assessment. Due to such failure, the assessment notice has become final, executory and demandable.
ISSUE(S):
Whether or not the assessment has become final and executory.
HELD:
NO. In case the Commissioner failed to act on the disputed assessment within the 180-day period from date of submission of documents, a taxpayer can either: (1) file a petition for review with the Court of Tax Appeals within 30 days after the expiration of the 180-day period; or (2) await the final decision of the Commissioner on the disputed assessments and appeal such final decision to the Court of Tax Appeals within 30 days after receipt of a copy of such decision.
In arguing that the assessment became final and executory by the sole reason that petitioner failed to appeal the inaction of the Commissioner within 30 days after the 180-day reglementary period, respondent, in effect, limited the remedy of Lascona, as a taxpayer, under Section 228 of the NIRC to just one.
