Practice question
The BIR sends an FLD/FAN package with detailed schedules connecting identified transactions, computations and applicable legal provisions. Is a demand automatically void merely because the explanation appears in clearly accompanying schedules rather than entirely on the notice’s first page?
- Yes, schedules can never explain an assessment
- No, the inquiry is whether the written notice and accompanying explanation sufficiently communicate the factual and legal bases
- Yes, all attachments must be ignored
- Yes, computations are forbidden
- No, because written bases are always optional
Legal references
- https://lawphil.net/statutes/repacts/ra1997/ra_8424_1997.html — NIRC, section 228
- https://lawphil.net/judjuris/juri2016/nov2016/gr_215957_2016.html — CIR v. Fitness By Design, Inc., G.R. No. 215957, November 9, 2016
- https://lawphil.net/judjuris/juri2018/oct2018/gr_201398-99_2018.html — CIR v. Avon Products Manufacturing, Inc., G.R. Nos. 201398-99 and 201418-19, October 3, 2018
- https://bir-cdn.bir.gov.ph/BIR/pdf/RMO%20No.%201-2026.pdf — RMO 1-2026, section IX(C), page 12
Answer this question in flashcards to review your response and continue practicing.