ii. Administrative vs. Judicial Claim for Refund

Prescriptive Period for Refund Claims under Section 229

Under Section 229 of the 1997 National Internal Revenue Code (NIRC), the two-year prescriptive period for claiming a tax refund is counted from the date of payment of the tax¹. Jurisprudence has clarified that this two-year prescriptive period to claim a refund actually commences to run, at the earliest, on the date of filing the adjusted final tax return (CIR v. Univation Motor Philippines, Inc., G.R. No. 231581, 10 April 2019)¹.

When a refund claim reaches judicial review, the Supreme Court accords the highest respect to the factual findings and conclusions of the Court of Tax Appeals (CTA) in light of its specialized expertise in resolving tax disputes¹. These determinations will not be disturbed on appeal absent substantial error or an abuse of authority (CIR v. Univation Motor Philippines, Inc.)¹.