Ampatuan lawyer sued for allegedly evading P28-M tax liability

The Bureau of Internal Revenue on Thursday filed a P28-million tax evasion case against one of the defense lawyers of the Ampatuan clan members implicated in the killing of 58 people, including 32 journalists on November 23, 2009. At a regular press conference at the Department of Justice in Manila, Bureau of Internal Revenue (BIR) Commissioner Kim Henares said lawyer Arnel Cortez Manaloto was being charged for his alleged failure to supply correct and accurate information in his income tax return and failure to file value-added tax for 2011. The tax case was filed a week after the Philippine Center for Investigative Journalism reported that Manoloto bought eight properties in Davao City, all belonging to the Ampatuan clan, some of whose members are suspects in the Maguindanao massacre. The PCIJ report said it was not clear if the P20 million that Manaloto paid was for all eight properties or for each one. A native of Angeles City, Pampanga, Manaloto was a former appointments secretary of former Pampanga Gov. Ed Panlilio, the PCIJ report showed. In May 2011, he figured in a spat with families of the victims of the Maguindanao massacre during a break in the proceedings held at Camp Bagong Diwa in Taguig City. As of this posting, GMA News Online was trying to reach Manaloto for his comment. Also being sued by the BIR was certified public accountant Erwin Carreon who examined and audited Manaloto's books of accounts and other accounting records for taxable year 2011. Based on the BIR’s investigation, Manaloto declared a total income of only P1.495 million in 2011, but was able to acquire a total of eight real estate properties in Davao City. The BIR said Manaloto's underdeclaration of his income was a "deliberate ploy to avoid having to register as a VAT taxpayer." According to the BIR, Manaloto earned P37.97 million in revenues in 2011, but failed to pay the corresponding VAT or register as a VAT taxpayer. The BIR computed Manaloto’s deficiency income and VAT liability at P27.56 million for 2011, including surcharge and interest. — LBG, GMA News