Trading company faces P238.7-M tax case

ABS-CBN News

Posted at Mar 26 2015 04:46 PM | Updated as of Mar 27 2015 12:46 AM

MANILA, Philippines - A trading company based in Caloocan is in hot water for tax evasion.

The Bureau of Internal Revenue (BIR) filed a criminal complaint with the Department of Justice against trading company TFN Far East Inc. and its president and chairman Thomas Pohang III for willful failure to pay taxes under the National Internal Revenue Code of 1997.

TFN Far East is company involved in wholesale and retail trading of goods with business address at Rm. 202 Baello Bldg., 426 A. Mabini St., Caloocan City.

TFN Far East and Pohang were assessed by the BIR deficiency tax liabilities for taxable year 2007 in the sum of P238.73 million.

Meanwhile, the BIR also sued Ignacio de Guia Santos, owner of IDS Employment Services for willful failure to pay taxes under the National Internal Revenue Code of 1997.

Santos' IDS Employment Services is engaged in manpower services with business address at 15 National Hi-way, Dampol 1st, Pulilan, Bulacan.

He was sued for deficiency tax liabilities for taxable year 2007 in the aggregate amount of P3.62 million.

The BIR said the respondents have failed to respond to its notices, and the tax assessments remain unpaid.

"The respondents’ obstinate failure and continued refusal to pay their long overdue deficiency tax assessments, despite repeated demands, constitute willful failure to pay the taxes due to the government," it said.