BIR files 4 tax evasion cases totaling P69M

by Ina Reformina, ABS-CBN News

Posted at Mar 29 2012 01:54 PM | Updated as of Mar 30 2012 02:38 AM

MANILA, Philippines - The Bureau of Internal Revenue (BIR) stepped up its campaign against tax evaders by filing four regional tax cases at the Department of Justice worth P69 million, including one against a supplier of the SM Group of Companies, weeks before the deadline for the filing of income tax returns.

The Bureau of Internal Revenue (BIR) filed four regional tax cases with the Department of Justice (DOJ) worth P69 million, the biggest of which involves P51.5 million in taxes from the sale of a prime commercial lot.

Humberto Cason Solis, the seller of the 1,282-square meter lot in Dagupan City, Pangasinan covered by an alleged falsified Certificate Authorizing Registration (CAR), was charged along with Elma dela Cruz Versoza, the buyer, and the Registrar of Deeds of Dagupan city, Atty. Cecilia L. Mumar.

Versoza's tax deficiency was computed at P7.24 million in expanded withholding tax, inclusive of surcharge and interest; while Solis' deficiency allegedly totalled P44.25 million involving deficiency income taxes of P27.99 million, deficiency documentary stamp taxes of P1.81 million and deficiency value-added taxes of P14.45 million.

BIR Commissioner Kim Henares told reporters that the CAR was falsified in order to changed the classification of the property to agriculatural. The lot is also allegedly used in trade and business subject to the expanded withholding tax and value-added tax (VAT), Henares said.

The second case involved P10.93 million in taxes from a supplier of the SM Group of Companies, Year Full Fashion Enterprises Inc., wherein its president, Charlie C. Chan, and treasurer, Irene C. Chan, were named respondents.

Henares said Cubao-based Year Full Fashion Enterprises was found to have sold P66.35 million to the SM Group of Companies in 2010 but declared sales of only P29.85 million.

The BIR computed the company’s deficiency income tax for 2010 at P3.46 million, inclusive of surcharge and interest, and its deficiency VAT at P7.74 million for a total of P10.93 million.

Another firm, San Pablo City-based  Southserv Logistics Corporation, its president, Retituto L. Raflores, and its treasurer, Teresita V. de Gracia were also charged with tax evasion.