BIR slaps PNP supplier with P184-M tax evasion raps 

The Bureau of Internal Revenue (BIR) on Thursday filed criminal charges against a supplier of the Philippine National Police for failing to pay P183.89 million in taxes.

 

A single count o f tax evasion was each filed against Enviroaire Inc., its president Tyrone Ong, and its treasurer Arlen Chua. They were also slapped with charges for failure to supply correct and accurate information in the firm's Income Tax Return for 2007.

 

According to the BIR, Enviroaire is a "domestic corporation primarily engaged in the business of emission testing and supply of equipment and other related products, including parts and accessories." The firm's business office is in Bagong Silang, Mandaluyong City.

 

The Commission on Audit earlier ordered the BIR to check if the company had declared P85.18 million and P140.53 million in its gross sales. The two amounts accounted for spare parts and maintenance of Light Armored Vehicles (LAV) purchased by the PNP.

 

After its investigation, the BIR claimed it found out Enviroaire "substantially underdeclared its sales by 89.1094 percent.

 

Under the National Internal Revenue Code of 1997 or the Tax Code, non-declaration of sales or income amounting to 30 percent or more of the actual amount could be considered "prima facie evidence of fraud tantamount to tax evasion."

 

The BIR computed at P183.89 million Enviroaire's total tax deficiency in 2007– including surcharges and interests.

 

Apart from the company, independent certified public accountant Susan Nace was slapped with criminal charges for "certifying the 2007 and 2008 audited financial statements of Enviroaire despite knowledge of the existence of such income payments/underdeclarations."

 

The latest tax evasion case is so far the 110th filed under the BIR's Run After Tax Evaders RATE program or RATE. —VS, GMA News