The Philippine Court of Tax Appeals issued a decision on Jan. 19, 2026 (Case No. 10607) clarifying the validity of assessments for alleged tax deficiencies. The ruling covers a range of taxes—including income tax, VAT, expanded withholding tax, and others—and finds that due process was not violated because the Final Decision on the Disputed Assessment (FDDA) stated the relevant facts. The decision provides guidance on how assessments are evaluated for due process compliance.
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Manila Times · 5 days ago
Philippines: The Supreme Court has upheld the constitutionality of the VAT refund law for foreign tourists, confirming that the incentive is a valid policy measure to promote tourism. The law allows non-resident foreign tourists to claim VAT refunds on purchases of at least P3,000 per transaction from accredited retailers, provided the goods are taken out of the Philippines within 60 days of purchase.
Deloitte · 5 days ago
Philippines' VAT refund rules have evolved significantly since 1987, with recent changes under the Create More Act affecting zero-rated taxpayers. The Supreme Court clarified processing periods and documentation requirements in December 2025, tightening the 90+30 day rule.
ManilaTimes · 6 days ago
Philippines Supreme Court upholds constitutionality of VAT refund law for foreign tourists, confirming the policy as a valid tourism incentive.
Global Nation · 6 days ago
Philippines Supreme Court declares VAT refund for foreign tourists constitutional, upholding Republic Act No. 12079. The decision affirms the state’s right to offer fiscal incentives to boost tourism without violating equal protection.
GMA News · 6 days ago
Philippines Supreme Court upholds law allowing VAT refunds for foreign tourists on purchases of at least P3,000, valid for goods taken out within 60 days.
Manila Times · 7 days ago
Philippines: The article outlines how VAT refund rules have evolved since 1987, detailing changes in claim periods, documentation, and appeal procedures.
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Key Takeaways
The decision covers assessments related to income tax, VAT, expanded withholding tax, withholding tax on compensation, final withholding tax, documentary stamp tax, improperly accumulated earnings tax, and compromise penalties.
The decision was issued on Jan. 19, 2026.
The court found that due process was not violated because the FDDA stated the relevant facts and circumstances.
The decision is in CTA Case No. 10607.
The FDDA is the Final Decision on the Disputed Assessment that the court used to determine whether due process was observed.
Primary source
Read the full article at Bloomberg TaxThis summary was published on VATfaqs.com on 25 January 2026. It relates to VAT developments in Philippines. The original source is Bloomberg Tax.
