Court asked to decide on tax case
LNU VS. DAGUPAN
TWO months into the trial, the Lyceum Northwestern University, represented by its president Atty. Gonzalo Duque, has asked the court to decide on the case it filed against the Dagupan City government, Mayor Benjamin Lim, and City Treasurer Romelita Alcantara over the collection of business taxes.
The civil case, with number 2011-0391-D, was filed before Branch 44 of the Regional Trial Court under Judge Emma Torio.
In the motion, LNU’s lawyer, Atty. Manuel Manuel, asked the court to render judgment against the respondents on the basis of their answers to the petition dated Dec. 11, 2011, submitted by respondents on Feb. 2, 2012.
The case stems from the continuous collection of business tax from LNU, which the university contests citing that educational institutions are not subject to such tax under the Dagupan Revenue Code of 2006.
The petition seeks the declaration of nullity of Section 109(h) (i) of the Revenue Code of Dagupan City, with prayer for preliminary injunction.
LNU is also seeking a refund of the amounts “erroneously assessed and collected from it by the respondents by way of business tax”.
In their earlier reply, the respondents asked the Court to dismiss the petition for lack of merit, to declare City Ordinance No. 1855, adopted as valid and petitioner liable to pay business taxes and to deny its application for the issuance of a Temporary Restraining Order and Writ of Preliminary Injunction.
They also submitted the City Ordinance No.1440-92, as being part of Ordinance No. 1855 citing the percentages of taxes to be charged.
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