BIR slaps Mighty Corp. with P9.56-B tax suit

THE Bureau of Internal Revenue (BIR) on Wednesday filed P9.564-billion worth tax evasion charges with the Department of Justice (DOJ) against the oldest tobacco firm in the country, Mighty Corporation.

Respondents in the case are Mighty Corporation's assistant corporate secretary Alexander Wongchuking, executive vice president Edilberto Adan, vice president for external affairs Oscar Barrientos, and treasurer Ernesto Victa.

They are facing charges "for unlawful possession of Articles subject to excise tax without payment of the tax and for possessing fake tax stamps in violation of Section 263 and 255 of the National Internal Revenue Code of 1997."

The filing came following the BIR's raid on Mighty Corporation's four warehouses in San Isidro, Pampanga, wherein fake tax stamps had been seized.

"The stamps are fake since they did not contain one of the multi-layered security features of a valid internal revenue stamp," the BIR said in a statement after the fili ng.

The complaints will undergo preliminary investigation under Senior Assistant State Prosecutor Susan Dacanay.

In an earlier interview with Justice Secretary Vitaliano Aguirre II, he said Mighty Corporation had agreed to President Rodrigo Duterte's offer for them to just pay P3 billion as settlement for its tax liabilities.

The money, according to the President, will be used for the refurbishment of hospitals in Sulu, Tawi-tawi and Metro Manila.

(Keith A. Calayag/ SunStar Philippines)

(AP Photo) Philippine President Rodrigo Duterte, left, talks to Thailand's Prime Minister Prayuth Chan-ocha during the agreements signing involving agriculture, education, energy, science and technology at the government house in Bangkok, Thailand, Tuesday, March...