Pilipinas Shell Petroleum Corp. said Thursday it filed a motion to pursue a temporary restraining order against the government from collecting excise tax on fuel blending additives.
This followed the Supreme Court’s decision affirming the suspension by the Court of Tax Appeals of the collection of excise taxes from PSPC for importation of alkylate from January 2010 to June 2012 amounting to P1.99 billion.
Pilipinas Shell is importing alkylate as a blending component for unleaded gasoline.
The company said it received a copy of the Supreme Court decision on Aug. 4, affirming the power of the CTA to issue temporary restraining order/writ of preliminary injunction to stop the government from collecting excise taxes on subsequent alkylate imports.
"Following the Supreme Court’s directive to remand the case to the CTA, SHLPH has filed a motion to pursue a previous TRO application with the CTA to whom this matter has been remanded," the company said in a disclosure to the stock exchange.
"To date, the merits of the case, including the very issue of whether SHLPH’s alkylate importations are subject to excise tax or not, are yet to be decided by the CTA," the company said.
Pilipinas Shell said in an earlier disclosure that it would continue to preserve and protect its rights and remedies under the law.
Presidential Spokesperson Harry Roque said in an earlier briefing the government was expecting to collect P41 billion from Pilipinas Shell, including a principa amount P3 billion to P4 billion but has ballooned to P41 billion, including penalties and interests.
Roque said the P41-billion tax windfall could be used by the government in its fight against COVID-19.
