The Bureau of Internal Revenue (BIR) today filed a criminal complaint with the Department of Justice against MANCHLOR TRADING CORPORATION (MANCHLOR) for Willful Attempt to Evade or Defeat Tax, and Deliberate Failure to Supply Correct and Accurate Information in its Income Tax Returns (ITR) for taxable year 2012, as defined under Sections 254 and 255 in relation to Sections 253(d) and 256 of the NationalInternal Revenue Code of 1997, as amended (Tax Code).

Likewise charged for the same violations were its responsible corporate officers – President ROLANDO G. MANGULABNAN, and Vice-President/Treasurer FLORDELIZA A. MANGULABNAN.

Respondent MANCHLOR is a domestic corporation engaged in the trading of goods such as chlorinator, chemicals, gasoline, tools equipment, food, supplements, etc. on wholesale/retail basis. Its registered address is at 86F Road 1 Cor. Road 32, Project 6, Quezon City.

Documents gathered in the course of investigation showed that MANCHLOR acquired 254,800 shares of stock of Philippine Hydro Incorporated (PHI) for a total consideration of P44.50 million. However, MANCHLOR failed to report the said acquisition in its Audited Financial Statements (AFS) and ITR for taxable year 2012.

Evidently, in the absence of any declared source of the purchase price of P44.50 million, the said amount is an undeclared income of MANCHLOR and must be subjected to income tax.

MANCHLOR and its responsible corporate officers were assessed an estimated aggregate deficiency tax liability for taxable year 2012 amounting toP27.27 million, inclusive of surcharges and interests.

The case against MANCHLOR TRADING CORPORATION, together with its responsible corporate officers, is the 391st filed under the RATE program of the BIR under the leadership of Commissioner Kim S. Jacinto-Henares. It is likewise a RATE case of the National Investigation Division. (reytdlc)