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Lawmaker questions non-implementation of tax stamps on alcoholic beverages

by UNTV News   |   Posted on Wednesday, July 12th, 2017

 

 

MANILA, Philippines — Five years since Sin Tax Reform was passed into law, the Bureau of Internal Revenue (BIR) is still not placing tax stamps on bottles of alcoholic beverages, as proof of tax compliance.

During the hearing of the House Committee on Ways and Means, Act Teachers Partylist Rep. Antonio Tinio slammed the BIR for not implementing this part of Sin Tax Law, which ensures that proper taxes are paid by alcohol manufacturers.

“What’s the proof of payment? Is this like trust or something like in good faith? Unless this is implemented, we never know if BIR is collecting what they need to collect,” said Act Teachers Partylist Rep. Antonio Tinio.

BIR said, even without tax stamps, they manage to collect taxes from alcoholic beverages even before these products are sold in the market.

They said that they have revenue officers whose task is to monitor the investor of manufactured products to be taxed.

“We are collecting taxes on alcohol production. When the product gets out of their manufacturing plant, we already have inventory of our taxes to be paid,” BIR Commissioner Caesar Dulay said.

BIR guaranteed the House committee that they will submit a plan on how they will implement before year ends the tax stamps on alcoholic beverages.

Meanwhile, the issue of proliferation of fake stamps on tobacco products was also discussed during the hearing.
Cong. Prospero Pichay suggested the use of laser stamps, which he said are harder to counterfeit.

Department of Finance Sec. Sonny Dominguez III, on the other hand, said, they are now taking actions against fake stamps.

“Among these measures are plans to change the stamp design and install circuit television or CCTV monitoring systems by cigarette manufacturers inside their warehouses so that BIR personnel can monitor their operations,” Department of Finance Sec. Sonny Dominguez III said. – Joyce Balancio | UNTV News and Rescue

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Tax amnesty for delinquent accounts to start April 24

by UNTV News and Rescue   |   Posted on Wednesday, April 10th, 2019

MANILA, Philippines – The Bureau of Internal Revenue (BIR) issued on Tuesday (April 9) the official guidelines of the much-awaited tax amnesty program in the country.

Signed by Finance Secretary Carlos Dominguez III and Internal Revenue Commissioner Caesar Dulay, Revenue Regulations (RR) 4-2019 lays down the application process of tax amnesty for delinquent accounts up to year 2017.

Applications will begin on April 24, or 15 days after it was published in a newspaper of general circulation on Tuesday.

Republic Act (RA) No. 11213 or the Tax Amnesty Act of 2019 offers delinquent taxpayers one year to file their request for amnesty signed by President Rodrigo Duterte in February this year.

It covers all national taxes including capital gains tax, documentary stamp tax, donor’s tax, excise tax, income tax, percentage tax, value-added tax (VAT), and withholding tax.

Under the law, varying rates apply per classification of delinquencies charged to the basic tax.

Delinquent accounts and tax assessments that have become final and executory will have an amnesty rate of 40% of the basic tax assessed.

Tax cases that have been decided by the courts will have to settle 50% of the basic assessment.

Accounts with pending criminal cases can choose to settle by paying 60% of the assessment.

In the case of withholding agents that withheld taxes but did not remit them to the BIR, they will pay 100 percent of the basic tax assessed.

Unremitted withholding taxes or non-remittance of personal income tax deducted from employees must be paid in full or 100% of the basic tax assessed.

RR 4-2019 requires applicants for the tax amnesty on delinquencies to submit the following:

  • Tax Amnesty Return
  • Duly-validated Acceptance Payment Form
  • Certificate of Tax Delinquencies/Tax Liabilities issued by the concerned BIR offices
  • A copy of the assessment found in the Final Assessment Notice/Final Decision on Disputed Assessment (when necessary).

Applicants must check first the procedures for application and the specific BIR offices where each taxpayer classification can be filed.

According to RR 4-2019, taxpayers who avail of the amnesty “shall be considered settled, and the criminal case in connection therewith and its corresponding civil or administrative case, if applicable, shall be terminated.”

“The taxpayer shall be immune from all suits or actions, including the payment of said delinquency or assessment, as well as additions thereto, and from all appurtenant civil, criminal. and administrative cases, and penalties under the 1997 Tax Code, as amended, as such relate to the internal revenue taxes for taxable years that are subject of the tax amnesty availed of,” it further said.

“The availment of the tax amnesty on delinquencies herein provided and the issuance of the corresponding Acceptance Payment Form do not imply any admission of criminal, civil or administrative liability on the part of the availing taxpayer,” it added.

During its one-year implementation, the amnesty delinquencies is expected to generate P21.26 billion in revenue. – Marje Pelayo

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Rappler answers P133 million tax evasion case

by UNTV News and Rescue   |   Posted on Monday, May 7th, 2018

FILE PHOTO: Rappler CEO Maria Ressa

MANILA, Philippines – Rappler CEO, Maria Ressa on Monday, May 7, filed her counter-affidavit with the Department of Justice in response to the P133 million tax evasion complaint of the Bureau of the Internal Revenue (BIR).

Rappler’s legal counsel said the complaint is baseless.

There was no tax evasion. There was no intent to avoid tax. Everything was disclosed, not just to financial statements, to the SEC,” Rappler’s legal counsel Atty. Eric Recalde said.

He explained that what the company did was just a fund-raiser when it issued the Philippine depository receipts (PDRS) and sold them to two foreign investors.

“Definitely, there is no way the company could be considered to be a dealer in securities which is essentially the basis why the BIR treated the transaction to be a buy and sale of security allegedly subject to taxes,” Recalde said.

Ressa appealed to BIR to investigate first before filing a case. She argued that the complaint is intended to harass and intimidate them.

“By filing the charges before any investigation, they violated my constitutional rights. They asked for our books three days before they filed the charges,” she said.

 The DOJ will resume the preliminary investigation on may 21 to receive BIR’s reply. – Roderic Mendoza | UNTV News & Rescue

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Sereno has P2-M tax deficiency — BIR

by admin   |   Posted on Wednesday, February 28th, 2018

Supreme Court Chief Justice Maria Lourdes Sereno

FILE PHOTO: Supreme Court Chief Justice Maria Lourdes Sereno (UNTV News)

MANILA, Philippines — It was the last hearing of the committee on the impeachment raps filed against Supreme Court Chief Justice Maria Lourdes Sereno.

After the hearing, the committee members will vote on the approval of the complaint before sending it to the plenary.

The revenue bureau said the chief magistrate has failed to pay P2-million worth of taxes from the years 2005 to 2009.

Bureau of Internal Revenue (BIR) Deputy Commissioner Arnel Guballa said that the P2-million tax discrepancy is based on their computations on the income of CJ Sereno when she was still a lawyer before entering government service.

The agency claims that the tax discrepancy is aside from the six other violations committed by the chief justice.

BIR belied that the chief justice earned only P30-million from the Piatco case she handled. It said that Sereno earned P32-million.

Meanwhile, the doctors who conducted the examinations on her asked for an executive session when the issue that CJ Sereno failed in a psychiatric and psychological test came up.

Following the committee’s conclusion of deliberations on probable cause in the impeachment complaint, the lawmakers will prepare the committee report that they will vote on in their next deliberation.

Once it gets a majority vote from the members of the committee, it will then be submitted to the plenary.

The complaint needs one-third or 99 votes to impeach Chief Justice Sereno in the Lower House.

In the plenary, the lawmakers will elect the members of a prosecution team that will be led by impeachment committee chairman, Reynaldo Umali.

They will then write the articles of impeachment that they will submit to the senate impeachment court for the conduct of a formal trial.  — Grace Casin | UNTV News & Rescue

 

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