Trading company charged for willful failure to pay long overdue deficiency taxes

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The Bureau of Internal Revenue (BIR) today filed a criminal complaint with the Department of Justice against JERA MARKETING, INC. (JMI) and its President ESTER R. ALMENDRALA for their willful failure to pay tax as defined and penalized under Section 255, in relation to Section 253 of the National Internal Revenue Code of 1997, as amended (Tax Code).

JMI is a domestic corporation primarily engaged in the business of trading goods. It is registered with the BIR with business address at 7 Purok III, Landayan, San Pedro, Laguna.

Records of investigation showed that JMI was issued a Letter of Authority (LOA) for the examination of its books of accounts and other accounting records for all internal revenue taxes covering taxable year 2006.

Despite the issuance of the LOA and letter requests for presentation of records, JMI did not submit the said required documents. The BIR subsequently issued a Subpoena Duces Tecum (SDT), a Preliminary Assessment Notice and a Formal Letter of Demand with Details of Discrepancy assessing JMI a total internal revenue tax liability amounting to P4.49 million, inclusive of surcharges and interests, for taxable year 2006 and demanding the payment thereof.

JMI still failed to settle its tax liabilities. The said assessment became final and executory for its failure to protest the same. Accordingly, a Preliminary Collection Letter, a Final Notice Before Seizure, and a Warrant of Distraint and/or Levy were issued to JMI to make the necessary settlement of its tax liabilities.

However, despite such repeated demands and the lapse of a considerable length of time, JMI has obstinately failed and adamantly refused to pay, through its responsible corporate officer, the aforementioned deficiency taxes, to the prejudice of government.

The case against JERA MARKETING, INC. and its President ESTER R. ALMENDRALA is the 152nd filed under the Run After Tax Evaders (RATE) program of the BIR under the leadership of Commissioner Kim S. Jacinto-Henares. It is likewise a RATE case of Revenue Region No. 9, San Pablo City.