Pasig food firm faces tax raps
The Bureau of Internal Revenue filed a criminal complaint against Golden Food Choice Trading & Industries Inc., which allegedly owed the government more than P323 million in taxes. AFP PHOTO
MANILA, Philippines–The Bureau of Internal Revenue filed a criminal complaint against a Pasig City-based agricultural food product merchandiser that allegedly owed the government more than P323 million in taxes.
The BIR filed the case Thursday at the Department of Justice against Golden Food Choice Trading & Industries Inc., its president Antonio Santos and treasurer Victor Lagadia.
The company and its officers were accused of willful attempt to evade or defeat the payment of income tax and value added tax, and for the deliberate failure to file income tax and value-added tax (VAT) returns for 2011.
According to the BIR, the case against Golden Good came up after the agency inspected the company’s list of purchases submitted by customers and compared it with the company’s VAT declarations.
Fraud/tax evasion
While the total purchases from Golden Food was P530.79 million in 2011, the BIR said in its complaint that P389.57 million of the amount was not declared by the company.
Under the Tax Code, an under-declaration of taxable income/sales by more than 30 percent in considered substantial and constitutes a prima facie case of fraud tantamount to tax evasion.
Golden Food and its officers were sued for an aggregate deficiency tax liability amounting to P323.20 million, including increments, broken down into P229.04 million income tax and P94.16 VAT.–Jerome Aning
