BIR padlocks over 60 firms

MANILA, Philippines - The Bureau of Internal Revenue has shut down more than 60 business establishments for tax evasion in the first 10 months of the year.

The move is in line with the government’s Oplan Kandado program, which cracks down on businesses that fail to comply with certain requirements such as the issuance of receipts, filing of tax returns, declaration of taxable transactions, taxpayer registration and payment of right taxes.

Last year, the BIR generated collections of P64.44 million from this program, closing 66 business establishments.

The program is aimed at strengthening the bureau’s imposition of prescribed administrative sanctions of suspending the business operations and temporarily closing erring businesses.

The temporary closure of the establishment shall be for a duration of not less than five days and shall be lifted only upon compliance with requirements.

Just recently, the BIR has padlocked three trading firms – Mantext Marketing and Pop Trading along Palanca St. in Quiapo, Manila and Go N’ Buy Trading in Dasmariñas City, Cavite – for tax evasion.

Mantext and Pop Trading, engaged in the importation and distribution of various brands of speakers for radio, stereo, and television, were closed down for alleged failure to file income and value-added tax returns in the past three years.  Tax liability was estimated at more than P16 million.

Go N’ Buy Trading, on the other hand, allegedly failed “to declare correct taxable sales and pay deficiency VAT.”