BIR FILES P1.2-B TAX EVASION CASE VS DUNKIN’ DONUTS

The Bureau of Internal Revenue (BIR) on Friday filed a P1.2-billion tax evasion case against the local owner of the Dunkin’ Donuts franchise and three of its corporate officials at the Department of Justice.

At a press briefing, BIR officials led by Deputy Commissioner Marissa Cabreros said the cases were filed for the company’s deliberate failure to supply correct and accurate information on Golden Donuts Inc.’s income tax and quarterly value added tax returns in 2007, in violation of the National In- ternal Revenue Code of 1997.

The BIR said GDI and its officers were liable for tax deficiencies amounting to P1.2 billion.

Taxes already settled

In a brief statement, the Mandaluyong City-based GDI denied the BIR’s accusations, saying the revenue agency had nothing more to collect as the company’s tax liabilities for 2007 had already been settled.

“[GDI] categorically denies the accusations of tax evasion for the year 2007. As a matter of fact, the tax liabilities of GDI for the said year had been settled with the BIR as of 2012. Further, it has always been compliant with all tax laws and regulations, as evidenced by tax clearances issued by the BIR over the years,” GDI said.

The company said the case was apparently filed based on an alleged 39-percent underdeclaration of sales which arose from the attribution of sales of franchises to GDI.

GDI also said it would make the proper presentation at the proper forum.