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EMILIO Y. HILADO VS. CIR & CTA

G.R. No. L-9408, October 31, 1956;

Bautista Ane!o "

#acts$

On %arc& 31, 195', (etitioner )!e* &is inco+e ta return or 1951 it& t&e treasurer

o Baco!o* /it &erein &e c!ai+e*, a+on ot&er t&ins, t&e a+ount o 1',832.65

as a *e*uctib!e ite+ ro+ &is ross inco+e (ursuant to Genera! /ircu!ar No. -1'3

issue* b t&e /o!!ector o nterna! Reenue. On t&e basis o sai* return, an

assess+ent notice *e+an*in t&e (a+ent o 9,419 as sent to (etitioner, &o

(ai* t&e ta in +ont&! insta!!+ents, t&e !ast (a+ent &ain been +a*e on

"anuar ', 1953.

%ean&i!e, on Auust 30, 195', t&e ecretar o #inance, t&rou& t&e /o!!ector o

nterna! Reenue, issue* Genera! /ircu!ar No. -139 &ic& not on! reo7e* an**ec!are* oi* &is enera! /ircu!ar No. -1'3 but !ai* *on t&e ru!e t&at !osses o

(ro(ert &ic& occurre* *urin t&e (erio* o or!* ar ro+ )res, stor+s,

s&i(rec7 or ot&er casua!t, or ro+ robber, t&et, or e+be!e+ent are *e*uctib!e

in t&e ear o actua! !oss or *estruction o sai* (ro(ert. :&e *e*uction as

*isa!!oe* an* t&e /R *e+an*e* ro+ &i+ 3,546 as *e)cienc inco+e ta or

sai* ear. :&e (etition or reconsi*eration )!e* b (etitioner as *enie* so &e )!e*

a (etition or reie it& t&e /:A. :&e / ar+e* t&e assess+ent +a*e b t&e

/R.

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(etitioner cou!* c!ai+ co+(ensation or t&e *estruction o &is (ro(erties *urin t&e

batt!e or t&e !iberation o t&e &i!i((ines. An* un*er t&e &i!i((ine Re&abi!itation

Act o 1946, t&e (a+ents o c!ai+s b t&e ar >a+ae /o++ission +ere!

*e(en*e* u(on its *iscretion to be eercise* in t&e +anner it +a see !it, but t&e

non-(a+ent o &ic& cannot ie rise to an enorceab!e ri&t.

'. es. t is e!! 7non t&at our interna! reenue !as are not (o!itica! in nature an*

as suc& ere continue* in orce *urin t&e (erio* o ene+ occu(ation an* in eCect

ere actua!! enorce* b t&e occu(ation oern+ent. As a +atter o act, inco+e

ta returns ere )!e* *urin t&at (erio* an* inco+e ta (a+ent ere eCecte* an*

consi*ere* a!i* an* !ea!. uc& ta !as are *ee+e* to be t&e !as o t&e occu(ie*

territor an* not o t&e occu(in ene+.