BIR gets conviction for 3 more tax evaders

The Bureau of Internal Revenue (BIR) has secured the conviction of three more tax evaders, bringing the total of convicted persons under its Run After Tax Evaders (RATE) program to five so far this year, BIR Deputy Commissioner Gregorio Cabantac said on Tuesday. Cabantac heads the BIR's RATE program, an anti-corruption and tax evasion program started in 2005 that seeks to boost the operations of the tax agency. Recently convicted in a tax evasion case were Angelito Reyes and co-accused Efren del Rosario, president and treasurer, respectively, of Ardent International Products, Inc. (AIPI). AIPI is a local distributor of welding equipment and electrodes. In its November 23 promulgation, a Makati City regional trial court found the two guilty of six counts of violationg the National Internal Revenue Code (NIRC) for failing to pay income taxes in 1988, 1989 and 1990. The two were ordered to pay a total of P6.7 million in back charges, and P10,000 each for each of the six counts of violations, plus imprisonment of not more than six months. Meanwhile, the BIR also obtained a conviction for a case against a money lender in Negros Oriental who was sentenced to more than a year in jail and fined P340,000 for issuing fake receipts. Dumaguete City Municipal Trial Court Branch 40 found Vidal Pelagio, owner of RAP Lending Investor, guilty of 17 counts of violation of the NIRC for issuing unregistered receipts. Early this year, the RATE program was able to secure its first criminal conviction at the Court of Tax Appeals (CTA) in two tax evasion cases involving more than P6 million against businesswoman Gloria Kintanar, distributor of Forever Living Products. The bureau got its second conviction from a municipal trial court in two tax evasion cases against Ma. Lourdes De Guzman, known as the ‘Pajero Lady.’ Cabantac said the intensified campaign against tax evaders is in line with the 'Enhanced RATE Program’ thrust of newly installed BIR Commissioner Joel Tan Torres. "We hope that these cases will serve as a stern warning to offenders and tax cheats that wherever they may be in the country, the BIR’s RATE team will ensure that they are brought before the bar of law," he said. He added that the RATE program was running very smoothly and has intensified into a nationwide campaign. In 2009, the RATE program filed four new RATE cases at the Justice department, including a P95-million tax evasion case against Quezon City-based Techpoint Computer Corporation, and a P126-million case against Cebu Engineering and Development Company, Inc. “This is in addition to the previously filed 26 cases at the DOJ. Four new RATE cases were also filed at the CTA against industrial firm manager Eduardo Fontanilla for evading taxes amounting to P60 million. As a result, a warrant of arrest was issued on him," Cabantac said. — GMANews.TV