Advocated for the cancellation of the assessment of alleged deficiency taxes (e.g., income tax, value added tax and withholding taxes) for SN Aboitiz Power-Magat, Inc., a joint venture of the Aboitiz group (one of the Philippines’ leading conglomerates) and SCATEC ASA, a Norwegian company which specializes in renewable energy systems, before the Philippines’ Court of Tax Appeals.
The principal issue here relates to the coverage of the incentives granted to renewable energy developers in relation to the provision of ancillary services to the grid operator. The resulting interpretation will have an impact not only to the renewable energy developers who provide ancillary services but also the consumers. Having to pay more taxes would likely increase the price of electricity and may discourage the entry of renewable energy developers.
Partner Anthony Mark A. Gutierrez from the Tax and Dispute Resolution Practice Groups led the case.
