4/7/2021 E-Library - Information At Your Fingertips: Printer Friendly certiorari before the Court. The Issue Presented Whether or not the CA erred in finding probable cause for violation of the NIRC. The Court's Ruling While this petition is pending, the petitioners manifested to the Court that pursuant to the May 31, 2012 CA Decision, an Amended Information in Criminal Case Nos. 0-385 to 0-392 were filed against them in the Court of Tax Appeals (CTA). They moved to quash the Amended Information due to prescription and double jeopardy. On July 8, 2015, the CTA issued a resolution dismissing all the cases on the ground of prescription. The CTA resolution became final and executory, and an entry of judgment was later issued. The petitioners aver that with this development, the issues in their petition have become moot and academic.[14] The BIR confirmed in its Manifestation and Comment, that the DOJ complied with the CA's decision and filed criminal Information against Sze, For, and Ng. On July 8, 2015, the CTA promulgated a resolution dismissing Criminal Case Nos. O-385 to O-392 due to prescription.[15] In its Reply, the petitioners reiterated that the propriety of the CA's decision in finding probable cause was rendered moot and academic by the CTA decision dismissing the Amended Information against them.[16] Section 281 of the Tax Reform Act of 1997[17] states that the prescriptive period for violation of the law is five years. SEC. 281. Prescription for Violations of any Provision of this Code. - All violations of any provision of this Code shall prescribe after five (5) years. Prescription shall begin to run from the day of the commission of the violation of the law, and if the same be not known at the time, from the discovery thereof and the institution of judicial proceedings for its investigation and punishment. The prescription shall be interrupted when proceedings are instituted against the guilty persons and shall begin to run again if the proceedings are dismissed for reasons not constituting jeopardy. xxxx The CTA explained that Revenue Memorandum Circular 101-90 provides that an offense under the tax code is considered discovered only after the manner of commission and the nature and extent of fraud has been definitely ascertained. This occurs when the BIR renders its final decision and requires the taxpayer to pay the deficiency tax.[18] https://elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/66082 3/5