THIRD DIVISION
G.R. Nos. 218532-33, April 28, 2021
PILIPINAS SHELL PETROLEUM CORPORATION, Petitioner, v. COURT OF TAX APPEALS EN BANC, COMMISSIONER OF CUSTOMS, COLLECTOR OF CUSTOMS OF THE PORT OF BATANGAS, BUREAU OF CUSTOMS, AND THE BUREAU OF INTERNAL REVENUE, Respondents.
D E C I S I O N
INTING, J.:
Before the Court is a Petition for Certiorari [with Application for the Issuance of a Temporary Restraining Order and/or Writ of Preliminary Injunction]1 filed by Pilipinas Shell Petroleum Corporation (Shell) assailing the Court of Tax Appeals (CTA) En Banc Resolutions dated September 2, 20142 and April 8, 20153 in CTA EB Nos. 1003 and 1007. In the assailed Resolutions, the CTA En Banc denied Shell's Motion to Suspend Proceedings and/or Defer Resolution4 (Motion to Suspend).
WHEREFORE, it is respectfully prayed that the Honorable Court En Banc DEFER resolution of the instant case, AWAIT the resolution and elevation to the Honorable Court En Banc of the Decision in CTA Case No. 8535, and thereafter, CONSOLIDATE both cases for a joint resolution.9chanRoblesvirtualLawlibraryAccording to Shell, the two cases involved "the very same issue of whether imported goods not intended for domestic; sale or consumption, but are mere raw materials not for sale to the public but for blending to produce finished-grade motor gasoline is subject to excise taxes both upon entry and withdrawal x x x."10 Thus, they called to suspend the CTA En Banc proceedings in the CCG/LCCG Case until the Alkylate Case is resolved at the division level and likewise reaches the banc "for consistency x x x so as not to preempt the deliberations and decision of the [CTA First Division Associate Justices] who are also members of the [CTA] En Banc."11
Endnotes:
1Rollo, Vol. I, pp. 3-36.
2Id. at 48-50; penned by Associate Justice Ma. Belen M. Ringpis-Liban with Presiding Justice Roman G. Del Rosario and Associate Justices Juanito C. Castañeda, Jr., Lovell R. Bautista, Erlinda P. Uy, Caesar A. Casanova, Esperanza R. Pabon-Victorino, Cielito N. Mindaro-Grulla, and Ameiia R. Cotangco-Manalastas, concurring.
3Id. at 54-60. With separate concurring opinion by Presiding Justice Roman G. Del Rosario, id. at 61-63.
4Id. at 65-70.
5 Republic Act No. (RA) 8749.
6Rollo, Vol. I, p. 8.
7Id. at 16. Shell filed a Petition for Review dated May 15, 2013 before the Court of Tax Appeals (CTA) En Banc docketed as CTA EB Case No. 1007.
8Id. at 18. Shell filed an Amended Petition for Review dated October 5, 2012 before the CTA First Division docketed as CTA Case No. 8535.
9Id. at 69.
10Id. at 66.
11Id. at 67.
12Id. at 48-50.
13Id. at 54-60.
14 Section 1, Rule 31 of the Rules of Court provides:chanroblesvirtualawlibrarySECTION 1. Consolidation. -When actions involving a common question of law or fact are pending before the court, it may order a joint hearing or trial of any or all the matters in issue in the actions; it may order all the actions consolidated; and it may make such orders concerning proceedings therein as may tend to avoid unnecessary costs or delay.15Rollo, Vol. I, p. 58.
16Id.
17Rollo, Vol. II, pp. 1292-1311.
18 The respondents in this case are the following: the Court of Tax Appeals En Banc, Commissioner of Customs, Collector of Customs of the Port of Batangas, Bureau of Customs, and the Bureau of Internal Revenue.
19Rollo, Vol. II, pp. 1305-1306.
20Peñafrancia Sugar Mill, Inc. v. Sugar Regulatory Administration, 728 Phil. 535, 540 (2014), citing Phil. Savings Bank, et al. v. Senate Impeachment Court, et al., 699 Phil. 34, 36 (2012), further citing Osmeña III v Social Security System of the Philippines, 559 Phil. 723, 735 (2007).
21 Section 7, Rule 65 of the Rules of Court provides:chanroblesvirtualawlibrarySEC. 7. Expediting proceedings; injunctive relief. - x x x The [filing of a] petition [under Rule 65] shall not interrupt the course of the principal case, unless a temporary restraining order or a writ of preliminary injunction has been issued, enjoining the public respondent from further proceeding in the case.22Rollo, Vol, II, pp. 1314-1355; penned by Associate Justice Caesar A. Casanova with CTA Presiding Justice Roman G. Del Rosario and Associate Justices Juanito C. Castañeda, Jr., Lovell R. Bautista, Erlinda P. Uy, Esperanza R. Fabon-Victorino, Cielito N. Mindaro-Grulla, Amelia R. Cotangco-Manalastas, concurring; and Associate Justice Ma. Belen M. Ringpis-Liban, with concurring and dissenting opinion.
23Rep. of the Phils. v. Sandiganbayan (4th Div.), et al., 678 Phil. 358, 403 (2011), citing 1 C.J.S. § 107, p. 1341; Wright and Miller, Federal Practice and Procedure: Civil 2d § 2382.
24Id. at 402, citing therein the provision on Consolidation or Severance under Rule 31 of the Rules of Court.
25 See Deutsche Bank AG v. Court of Appeals, et al., 683 Phil. 80 (2012).
26 See Sps. De Vera v. Hon. Agloro, 489 Phil. 185, 198 (2005), citing Raymundo, et al. v. Felipe, 149 Phil. 716, 732 (1971).
27Id.
28 See PNB v. Gotesco Tyan Ming Dev't., Inc., 606 Phil. 806 (2009).
29Rollo, Vol. I, p. 23.
30 RA 1125, otherwise known as the "Act Creating the Court of Tax Appeals" [June 16, 1954], as amended by RA 9503 [June 12, 2008].
31 Section 1, RA 1125, as amended by RA 9503, provides:chanroblesvirtualawlibrarySECTION 1. Section 1 of Republic Act No. 1125, as amended, is hereby further amended to read as follows:chanroblesvirtualawlibrary32 Section 2, RA 1125, as amended by RA 9503, provides:chanroblesvirtualawlibrary"SEC. 1. Court; Justices, Qualifications; Salary; Tenure. - There is hereby created a Court of Tax Appeals (CTA) which shall be of the same level as the Court of Appeals, possessing all the inherent powers of a Court of Justice, and shall consist of a Presiding Justice and eight (8) Associate Justices. The incumbent Presiding Judge and Associate Judges shall continue in office and bear the new titles of Presiding Justice and Associate Justices. The Presiding Justice and the two (2) most Senior Associate Justices, all of whom are incumbent, shall serve as chairmen of the three (3) Divisions. The other three (3) incumbent Associate Justices and the three (3) additional Associate Justices shall serve as members of the Divisions. The additional three (3) Justices as provided herein and the succeeding members of the Court shall be appointed by the President upon nomination by the Judicial and Bar Council. The Presiding Justice shall be so designated in his appointment, and the Associate Justices shall have precedence according to the date of their respective appointments, or when the appointments of two (2) or more of them shall bear the same date, according to the order in which their appointments were issued by the President. They shall have the same qualifications, rank, category, salary, emoluments and other privileges, be subject to the same inhibitions and disqualifications, and enjoy the same retirement and other benefits as those provided for under existing laws for the Presiding Justice and Associate Justices of the Court of Appeals.
"Whenever the salaries of the Presiding Justice and the Associate Justices of the Court of Appeals are increased, such increases in salaries shall be deemed correspondingly extended to and enjoyed by the Presiding Justice and Associate Justices of the CTA.
"The Presiding Justice and Associate Justices shall hold office during good behavior, until they reach the age of seventy (70), or become incapacitated to discharge the duties of their office, unless sooner removed for the same causes and in the same manner provided by law for members of the judiciary of equivalent rank."SECTION 2. Section 2 of the same Act, as amended, is hereby further amended to read as follows:chanroblesvirtualawlibrary33 Section 1, RA 1125, as amended by RA 9503.cralawredlibrary"SEC. 2. Sitting En Banc or Division; Quorum; Proceedings. - The CTA may sit en banc or in three (3) Divisions, each Division consisting of three (3) Justices.
"Five (5) Justices shall constitute a quorum for sessions en banc and two (2) Justices for sessions of a Division. Provided, That when the required quorum cannot be constituted due to any vacancy, disqualification, inhibition, disability, or any other lawful cause, the Presiding Justice shall designate any Justice of other Divisions of the Court to sit temporarily therein.
"The affirmative votes of five (5) members of the Court en banc shall be necessary to reverse a decision of a Division but a simple majority of the Justices present necessary to promulgate a resolution or decision in all other cases or two (2) members of a Division, as the case may be, shall be necessary for the rendition of a decision or resolution in the Division Level."