Manila, Sept. 5 -- The Court of Tax Appeals (CTA) has granted a petition filed by the Bangko Sentral ng Pilipinas (BSP) seeking a refund for documentary stamp taxes (DST) for PHP24,684 it paid in connection with the foreclosure of mortgaged properties of the Rural Bank of San Miguel.

In a nine-page decision made public Friday, the CTA Special First Division explained under its charter, BSP is authorized to grant emergency loans and advances to banks secured by real estate mortgage.

"Consequently, if deemed to be the highest bidder in foreclosure sales of unpaid loans, it may acquire real properties as part of the conduct of its business, thus falling squarely within the exemption mentioned," the court said.

"In the instant case, the co...