The Department of Justice (DOJ) has dismissed charges of tax evasion worth P35.6 million pesos against controversial Philrem Service Corp. executives Salud Bautista and Michael Bautista for lack of probable cause.
In a five-page resolution, assistant state prosecutor Karla Torres-Cabel said it found “no probable cause to indict respondents for willful attempt to avoid payment of gross receipt tax for taxable years 2005 to 2014.”
The BIR had alleged that Philrem’s tax liabilities from January 2005 to March 2016 had reached P35.61 million “for its failure to update its records with the BIR as remittance agent.”
The BIR said Philrem was registered as a corporation engaged in land transport operation service, but later allegedly shifted its business into a remittance agent for currency from abroad to various parts of the country.
But in their counteraffidavits, the Bautistas argued they religiously stated in their BIR forms 0605 that they were engaged in “money remittance” as their main line of business.
In dismissing the charge, the DOJ said the BIR filed its complaint “with unreasonable haste” without giving the firm an opportunity to respond properly. Estrella Torres