Over 200 corporate officers face tax evasion raps

MANILA, Philippines — Over 200 corporate officers of various companies are facing criminal complaints before the Department of Justice for alleged tax evasion that cost the government P6.1 billion.

The Bureau of Internal Revenue filed the tax evasion charges against 214 people from 127 different companies on Aug. 3 for withholding their taxes. It was the second bid of the BIR to have corporations prosecuted over tax liabilities this year.

BIR Commissioner Romeo Lumagui Jr. did not name the companies, but disclosed that they were involved in retail, importation and construction, among others.

“These are various companies and their corporate officers are facing prison time. Aside from that, they also have civil liabilities from tax liabilities that they never paid for,” Lumagui told reporters.

He warned companies and business owners that the BIR would go after them if they refuse to pay their taxes and make use of means to avoid tax such as the use of so-called ghost receipts.

He also reminded them not to ignore notices or letters of authority from BIR.

A notice or letter from the BIR allows the taxpayer to come forward to explain themselves and be afforded due process. If after examination, deficiency taxes were found, taxpayers are advised to pay or contest the assessment within the allowable period.

“If you ignore these, our audit will proceed and you will have an assessment and maybe that would result in criminal complaints. That’s why make sure that you participate in all the processes we do, we will give you the opportunity to explain,” Lumagui added.

Last February, 74 criminal complaints for tax evasion amounting to P3.58 billion were filed against erring individuals and corporate taxpayers.