Ligots question P428-M tax raps before Justice Dept

Former military comptroller Lt. Gen. Jacinto Ligot and his wife Erlinda on Monday filed with the Department of Justice (DOJ) their counter-affidavit to the Bureau of Internal Revenue's (BIR) P428-million tax evasion complaint against them. In their 27-page counter-affidavit, the spouses said the BIR violated their right to due process because no formal assessment of their tax liabilities was conducted before the complaint was filed on March 10 this year. "The complaint did not issue a formal assessment against us which is required before the filing of a criminal complaint for tax evasion. Considering the haste of the complainant (BIR) in wanting to file the instant complaint, the BIR skipped the issuance of the required and necessary formal assessment," read a portion of their counter-affidavit. They added that the BIR's computation of P428 million in aggregate tax liabilities is "erroneous and "is based on imaginary bank deposits and properties in the names of other people." In March this year, the BIR filed with the DOJ a complaint accusing the Ligots of evading their duties to pay taxes from 2001 to 2004. The BIR is requiring them to pay P428 million in aggregate tax liabilities. The BIR's investigation stemmed from allegations made during the Senate blue ribbon committee hearings earlier this year. The Senate panel is investigating the Ligot couple's wealth, which was allegedly sourced from military funds. The Ligots are also facing separate plunder complaint filed last week by former military budget officer George Rabusa, Ligot's former subordinate. Denial of wrongdoing On Monday, the couple's lawyer, Rafael Zialcita, denied that his clients committed any wrongdoing. Zialcita said that Mrs. Ligot did not file any income tax returns for the said period because she had no source of income. The lawyer added that as far as he knows, the Armed Forces of the Philippines filed Mr. Ligot's ITRs on his behalf. "As far as Mrs. Ligot is concerned, she did not file because she was not gaining any income. For Mr. Ligot, he did file his ITRs and if I'm not mistaken, the AFP was the one responsible for that," said the lawyer in an interview with reporters. There's this thing they called substituted filing. There is no reason to believe that General Ligot did not file an ITR. In the AFP, you cannot be promoted if you do not file an income tax return," the lawyer added. The Ligot couple subscribed to their counter-affidavits before DOJ Senior State Prosecutor Stewart Mariano, who is handling the preliminary investigation on the BIR's complaint against the spouses. A preliminary investigation conducted by the Justice Department seeks to determine whether there is probable cause to indict a respondent for the offense allegedly committed. Once probable cause is established, the DOJ will then file the appropriate charges before the proper court. Buena Park property The bureau charged the Ligots with "eight counts of willful attempt to evade or defeat tax and five counts for willful failure to file their income tax returns covering the taxable years 2001 to 2004." The bureau noted Jacinto Ligot's millions worth of bank deposits and his purchase of properties in Rizal province, a condominium unit in Makati City, and a sports utility vehicle. While her husband was still the military comptroller, Erlinda allegedly made "several bank deposits," including a $200,000 bank transaction. "She also purchased serveral properties that included a Paseo Parkview Tower II condominium unit at Salcedo Village in Makati City, a $322,181 real property at No. 1240 Cabernet Circle, Anaheim, California, USA, and a $599,500 house and lot at 7102 Stanton Avenue, Buena Park, California," said the BIR. The Buena Park property was forfeited by the United States government, upon the request of the Philippines through the Mutual Legal Assistance Treaty (MLAT). The property was listed under the name of Erlinda Ligot. Earlier this month, the US government turned over to the Philippines the $132,000 proceeds from the sale of the Buena Park property. On Monday, Zialcita said her clients are unfazed by the turnover of the money, saying that this will not bolster the BIR's complaint. "I dont see how it's going to affect our case," Zialcita said, even as the Buena Park property is among the subjects of the BIR's complaint against the couple. — RSJ/VVP, GMA News