Pacquiao pays P32 million in VAT liabilities

Sarangani Representative Manny Pacquiao has paid the Bureau of Internal Revenue P32 million in back taxes, but that is just a small chunk of his tax liability, which the BIR puts at P2.2 billion, BIR Commissioner Kim Henares said Thursday.

 

“Our assessment for 2008 and 2009 was he has a deficiency for income tax and deficiency of VAT (value-added tax). The total as of December 31, 2012 was P2.2 billion. What they paid was that portion for the deficiency for the VAT, including surcharge for the VAT,” she told reporters.

 

She did not provide other details as the Court of Tax Appeals has ordered BIR and Pacquiao to refrain from talking about the issue.

 

Henares, however, maintained that the BIR assessment on Pacquiao’s liability is final.

 

“That is still pending in the CTA. Our position is its final, it’s just that they sued us so it’s with the CTA,” she said.

 

Pacquiao and his wife Jinkee are questioning the BIR's calculation of their purported P2.2-billion tax liability.

 

On Aug. 1, Pacquiao asked the CTA to review the tax deficiency claimed by the BIR against him and his wife, Jinkee.

 

The couple then filed on Oct. 18 an urgent plea to lift the warrant issued by the BIR and to ask the CTA to stop the bureau from issuing further warrants against them.

 

The boxing champion claimed that his bank accounts were frozen because of the tax case. — JDS, GMA News