BIR files tax evasion cases vs ad firm, tourist inn

MANILA, Philippines — The Bureau of Internal Revenue has filed at the Department of Justice criminal complaints against an advertising firm and a tourist inn, both based in Makati City, for allegedly evading the payment of taxes worth P50 million in 2008.

Sued were Adformatix Inc., an advertising agency in Legaspi Village, and Lucid Tower Tourist Inn Apartelle Corp. based in Barangay La Paz, and their officials.

Named respondents in the complaints were Adformatix chair Guillermo Garcia, president Liane Vergara, treasurer Lolita Ordonez, vice president for accounts Ma. Minerva Dimson and manager Nestor Reantaso; and Lucid president Florentino Lucido and treasurer Eufemia Ofelia Pangilinan.

BIR deputy commissioner Estela Ansales said Adformatix failed to pay taxes amounting to P42.75 million, inclusive of increments, broken down into: P4.8 million income tax, P1.04 million final withholding tax; P0.36 million final withholding value added tax; and P36.55 million expanded withholding tax.

Lucid, on other hand, was sued for alleged failure to pay taxes in 2008 worth P11 million, inclusive of surcharges, broken down into P8.02 million income tax; P2.81 million VAT; P0.25 million documentary stamp tax; and P34,000 in compromise penalty, Ansales said.

The BIR official said the two firms were served with preliminary and final assessment notices with details of discrepancies, as well as preliminary collection letters, final notices before seizure, and warrants of distraint and/or levy.

The respondents, she said, failed to protest or contest the assessments, making them final, executory and demandable. After still refusing to pay up, the two companies and its officials were charged for violating Section 55 (wilful failure to pay taxes) in relation to Sections 253 (d) and 256 of the 1997 National Internal Revenue Code of 1997.  SFM