The Bureau of Internal Revenue (BIR) today filed a criminal complaint with the Department of Justice against WILLIAM TAN VALENZUELA (VALENZUELA) for WillfulFailure to Pay Tax for taxable year 2006 pursuant to Section 255 of the National Internal Revenue Code of 1997, as amended (Tax Code).

VALENZUELA is engaged in the wholesale business with registered address at No. 20 Prinsipe Tupaz St., Doña Rosario Subd., Novaliches Proper, Quezon City. Hewas the subject of investigation pursuant to a Letter of Authority (LOA) issued by the BIR authorizing the examination of his books of accounts and other related accounting records for taxable year 2006. The said LOA was issued based on a Letter Notice (LN)-Relief (VAT and Income Tax).

The charges against VALENZUELA stemmed from his willful failure to pay deficiency taxes for taxable year 2006 in the aggregate amount of P6.86 million, inclusive of surcharges and interests, broken down into Income Tax – P4.04 million; and Value Added Tax – P2.82 million.

Records of investigation showed that the BIR served copies of the Notice of Informal Conference, Computation Sheet and Response to Findings to VALENZUELA. Subsequently, the tax agency issued the corresponding Preliminary Assessment Notice (PAN), Final Assessment Notice (FAN) and Formal Letter of Demand (FLD). He failed to protest said assessments, hence making the same final, executory, unappealable and demandable.

The issuance of Warrants of Garnishment and Demand Before Suit proved useless as the said tax assessments remained unpaid.

The obstinate failure and continued refusal of VALENZUELA to pay his long overdue deficiency tax assessment/s, despite repeated demands and theexhaustion of administrative remedies, were construed as willful failure to pay the taxes due to the government.

The case against WILLIAM TAN VALENZUELA is the 204th filed under the RATE program of the BIR under the leadership of Commissioner Kim S. Jacinto-Henares. It is likewise a RATE case of Revenue Region No. 7, Quezon City.