Waiver of Statute of Limitations (BIR)

The following are defects in the Waiver of the Statute of Limitation executed by the taxpayer:

1. a)  The waiver was executed by an officer without any written notarized authority from the board of directors of the taxpayer.
   
2. b)  The waiver failed to indicate the date of acceptance by the BIR. The date of acceptance is a requisite for determining whether the waiver was validly perfected before the expiration of the original three-year period.
   
3. c)  The taxpayer was furnished a copy of the waiver only on a date beyond the three-year prescriptive period to assess. The requirement to furnish taxpayer with a copy of the waiver is not only to give notice of the existence of the document but of the acceptance by the BIR and the perfection of the agreement.
   
4. d)  The waiver was not signed by the duly authorized representative of the BIR. RMO 20-90 provides that for tax cases involving more than P1 million, the revenue officer authorized to sign the waiver is only the Commissioner. While RDAO 05-01 delegates the authority to sign and accept the waiver, however, for large taxpayers cases, it is the Assistant Commissioner of Internal Revenue for the large taxpayers service who is authorized to sign and accept the waiver. The OIC – Head of Revenue Executive Assistant of the Large Taxpayers Service being not the duly authorized representative named in RDAO 05-01 to sign and accept the waiver, then said waiver cannot be considered to have been validly accepted by the BIR. (Ajinomoto Corporation vs. Commissioner of Internal Revenue, C.T.A. Case No. 7877, December 11, 2012)