Parayno classmate charged with tax evasion

Internal Revenue Commissioner Guillermo Parayno filed tax evasion charges against his former classmate for tax arrears amounting to P26.77 million.

Charges were filed yesterday against a company headed by Luis Yu Jr., Parayno’s former classmate at the Asian Institute of Management (AIM).

Yu, identified as board chairman and president of New Pointe Realty and Development Corp. (NPRDC), is one of three persons accused of under-declaring the company’s gross income in 2002 and 2003 by P46.2 million.

Charged with Yu were Nikki Ebiel, the company’s accounting assistant and Rodolfo Sto. Domingo, the company’s external auditor.

Parayno said that, based on the information furnished by an informer to the BIR’s national investigation division, it was confirmed that the NPRDC sold property in Cebu worth a total of P46 million for the taxable years 2002 and 2003.

He also said that NPRDC’s annual income tax return and financial statements showed that the company made no sales in 2002 and 2003.

Citing Section 32 A (3) of the Tax Code 1997, Parayno said NPRDC substantially under-declared its gross income from gains derived from dealings in real properties, adding that this "constitutes prima facie evidence of false and fraudulent returns under Section 248 B of the Tax Code of 1997."

He said NPRDC is engaged in "buying, leasing or donating real estate for customers to own, use, improve, develop, subdivide, sell mortgage or hold for investment."

NPRDC also "improves, manages, or disposes of buildings, houses, apartments and other structures." — Des Ferriols and Jose Rodel Clapano