Ex-DOF secretary, PNB chairman lose ‘Christian’ tax battle
Former finance secretary Juanita Amatong and PNB chairman Flor Tarriela have suffered an embarrassing loss in their ongoing battle to keep their micro-finance NGO from being taxed.
Their “Christian” Tulay sa Pag-Unlad lending venture must pay P65 million in delinquent value-added and documentary stamp taxes, plus 20 percent interest from May 2012 until payment, according to a recent Court of Tax Appeals en banc decision.
Ironically, it was then BIR commissioner Kim JacintoHenares who had lodged the appeal, wanting to slap higher penalty interests on Tulay sa Pag-Unlad, alleging, but failing to prove fraud against the NGO.
The tax deficiencies covered the interest income earned by Tulay sa Pag-Unlad in 2008, with Henares particularly wanting to impose a P101 million VAT and DST taxes for a P1 billion “lending investor” loan – sounds like the Peace Bond saga – from the related TSPI Development Corp.
According to the Philippine Council for NGO Certification, the TSPI Development Corp., at one point, used to be the Tulay sa Pag-Unlad, with an approved budget of nearly P666 million in 2009.
In its current website, Tulay sa Pag-unlad describes itself as “a Christian micro-enterprise development NGO (that) offers a variety of financial and non-financial programs and services to help micro-entrepreneurs and farmers grow their enterprises.”
The loans range from P30,000 interest-free livelihood assistance to as high as P300,000 for working capital.
“Love for Christ and neighbor is central to (our) mission to help the poor move out of poverty,” Tulay sa Pag-Unlad said. “That is why integral to its program and services are activities to spread the good news of Christ’s gospel to both our employees and clients.”
“These are made possible through “Usapang Paglago” (weekly devotional) for clients and a discipleship formation program, retreats, and morning devotions for employees.”
In addition to Amatong and Tarriela, lawyers Lamberto Meer and Cornelio Gison, David Bussau, Rene Cristobal, Ma. Luz Planas, Alberto Malvar, Dr. Abraham Pascual, Gladys Fe Rio Malayang, Terry Winters, Eduardo Mendoza, and bookstore owner Jose Fider compose the board of trustees.
Amatong, who is the Tulay ng Pag-Unlad treasurer, became the country’s first female finance secretary, having served from late 2003 to early 2005 under the MacapagalArroyo administration.
Moral of the story: Even top bankers and finance wizards need a good tax lawyer- accountant.
Money talks
• Former ambassador Manuel Lopez has been paring down his shareholdings in Lopez companies such as First Philippine Holdings, Rockwell Land, and the Manila Electric Co.
Lopez, who turned 75 this year, has monetized about P125 million so far.
• Jollibee treasurer Joseph Tanbuntiong has raised some pre-Christmas shopping money, having netted about P10 million in flipping hamburger stocks in just four days.
Heard through the grapevine
The señoras of the Urdaneta Apartments have staged their own quiet revolt, directed ironically against someone in their own VIP neighborhood.
Save for two owners who are joined at the hip, the condo association has agreed to provide legal coverage to any of its officers, who are merely following the mandate of the association, from being sued by angry owners.
No less than three bomb threats that triggered a mandatory evacuation preceded the residents’ meeting, necessitating a last-minute change of venue, an indication of how uncivil the relations have degenerated in Ayala’s first luxury condominium. E-mail: moneygoround.manila@yahoo.com