The Bureau of Internal Revenue (BIR) has filed a tax evasion case against members of one of the families who used to own Philippine Bank of Communications (PBCom) for their alleged failure to pay more than P40 million in estate tax to the government.
Named respondents in the complaint filed with the Department of Justice were the heirs of Vivian Nubla Sy, whose shares of stocks in PBCom were part of the block shares sold to the group of businessman Roberto Ongpin in 2011.
Charged were Sy’s widower, Edward Sy, and their children Stephanie Ellen, Mark Jonathan, Karla Angela and Tracey.
‘Willful attempt’
The BIR accused them of violating Sections 254 and 255 of Republic Act No. 8424, or the National Internal Revenue Code of 1997, for their alleged “willful attempt to evade or defeat tax” payment.
In its complaint, the BIR said the family did not pay any estate tax for the assets they inherited from Sy, who passed away on Dec. 19, 2007.
It said the late PBCom stockholder left 954,976 common shares in the bank worth P52.5 million and a P24-million condominium unit at an upscale residential building in Makati City.
Unpaid dues
“Under the tax code, upon the death of (Sy), the executor/administrator of her estate or any of her legal heir/s is required to file with the BIR a notice of her death and an estate tax return and to pay the corresponding tax due,” the BIR said.
According to the BIR, the family should have paid the government a total of P40.5 million in inheritance tax, including surcharges and interest.
The BIR came to know about the change in the ownership of the bank shares after PBCom, a publicly listed bank, informed the Philippine Stock Exchange in April 2012 that Sy was no longer a shareholder.
This prompted the BIR to conduct an investigation into what had happened to Sy’s stocks in PBCom.