Brazilian TV host, Chinoy trader rapped for tax evasion

MANILA, Philippines - Aside from former presidential son and now party-list Rep. Juan Miguel Arroyo, Brazilian model and “Eat Bulaga” host Daiana Menezes was also the subject of a tax evasion case filed by the Bureau of Internal Revenue (BIR) before the Department of Justice (DOJ) yesterday.

This developed as the DOJ yesterday ordered the indictment of businessman Macario Gaw Jr. for evading payment of taxes worth over P1.8 billion for the purchase and subsequent sale of 10 properties in Parañaque City in 2008.

The BIR sought the indictment of Menezes for alleged failure to pay taxes worth P983,658.07.

It accused Menezes of violating sections 254 and 255 of the National Internal Revenue Code of 1997 for willful failure to file income tax returns and pay appropriate taxes.

Investigation showed that the model, who has been in the country since 2007, did not file an ITR for taxable years 2007, 2008 and 2009.

It was also learned that she earned P2,659,668.10 in 2007 to 2009 but failed to pay any tax.

But Menezes was quick to deny the charge and insisted she has been paying her taxes religiously.

“The issue about my taxes is being addressed and I have been paying my taxes religiously. In fact, I am bound to pay before the April 15 deadline. I may be Brazilian, but as someone working here in the Philippines, I am always respectful of its laws and policies,” Menezes said in a statement.

The case against Menezes is the 38th filed under the Run After Tax Evaders (RATE) program of the BIR under the administration of President Aquino.

Meantime, acting on a complaint filed by the BIR in August last year, the DOJ approved the filing of charges for violation of Section 255 of the NIRC against Gaw, president of Mega Packaging Corp. and officer of Macro LPG Co.

An eight-page resolution signed by the investigating panel led by Senior Assistant State Prosecutor Susan Dacanay and approved by Prosecutor General Claro Arellano said there is probable cause to indict the respondent as there was ample basis in the complaint filed by BIR.

The DOJ did not give credence to the claim of Gaw that the 10 parcels of land he purchased in 2007 and 2008 and subsequently sold in 2008 were capital assets and not ordinary assets, and as such, he was correct in paying capital gains tax for the transactions.

“There is therefore basis in BIR’s contention that the properties sold by respondent (Gaw) in 2008 within a brief holding period of eight months, or a little more than two weeks in certain cases, should have been classified as sale of ordinary assets intended for profits for which he should have declared income of P4,115,297,361.12 from said transactions and paid the correct amount equivalent to 32 percent income tax and 12 percent VAT,” it said.

“But respondent failed to pay in this regard in violation of Section 255 of the NIRC of 1997, as amended,” the resolution stated.

The DOJ explained that Gaw acquired six parcels of land from November to December 2007 and bought another four parcels of land from April to June 2008.

Subsequently, Gaw sold the 10 parcels of land on July 11, 2008.

The BIR noted that Gaw’s previous transactions in 2008 made him a person engaged in real estate business under BIR revenue regulations.

The DOJ cited as strong evidence against Gaw the agreement to sell dated April 3, 2008, submitted by the latter which showed that he is actually into the business of selling real properties for profit.

It said the agreement indicates that as early as the date of the agreement, the respondent was already consolidating legal and beneficial title to 23 parcels of land with an aggregate area of approximately 30.5 hectares, which includes the 10 parcels of land.

The panel added that there were already ready buyers who actually bought and paid him for the lots on July 11, 2008, thus, the sale was for business intended for profit. – Edu Punay, Iris Gonzales