“Nobody is exempted from the Bureau of Internal Revenue’s (BIR) investigation” according to the country’s finance chief. These words are reminding Sarangani Rep. Manny Pacquiao to be aware of what the policies are.
However, Finance Secretary Cesar Purisima said that the tax agency is not distressing Pacquiao.
“I don’t think the BIR will dare harass an eight-time world champion. I believe this is just the BIR doing its job. No one is exempted from being investigated by the BIR. Even me, they ask for my files. We love Mr. Pacquiao and we respect him and we wish him the best. But at the same time we have a duty to make sure that we review everyone’s income tax return. And I don’t think Congressman Pacquiao should take this personally. I bet you most BIR people are fans of his and this is only the BIR doing its job,” Purisima said.
He also mentioned that the boxing champ doesn’t need to feel uneasiness about the issue if he already paid all his taxes. Also he gave assertion that there would be no double taxation if Pacquiao already paid his compulsions in the US.
“I think what the BIR is doing is to ask for documents because that’s part of the audit of any taxpayer. They’re asking for the amount of the taxes paid in the US and then the amount of taxes and revenue from the Philippines so that they can determine what taxes are due or not. There is no harassment,” he said.
Purisima stated that the BIR would not dare bother Pacquiao who is a “national icon, a national symbol and a national pride.”
He as well urged Pacquiao to give in his minutes to the bureau because it is his obligation as a citizen of the country.
Pacquiao on the other side asserted in a press conference that the charges filed by the BIR were meant to harass him.
Last February, the tax agency filed disrespect charges against the boxing champ for disregarding the BIR’s letters asking him to submit documents to the agency concerning his profits and corresponding tax payments.
A letter of Authority was issued by the BIR’s regional director Rozil Lozares for the boxing icon requesting him to acquire the documents regarding his profits.
Pacquiao’s tax payments significantly dropped to some P7 million in 2009 from P100 million in 2008, according to the tax agency.
Seemingly, Pacquiao disregarded the BIR’s request for documents.
BIR needs to examine 33 tax records including Pacquiao’s annual income tax return in 2010 which comprises his book of accounts, list of assets, as well as his earnings from his fights against Antonio Margarito and Joshua Clottey.
The tax agency also requested Pacquiao to supply them datum of his product endorsements.
The BIR filed a case against the boxing champion at the Office of the City Prosecutor in Koronadal in relation with their ongoing investigation.
Under heavy anxiety to raise incomes, BIR has been moving up efforts to collect taxes.
It is their goal to collect P1.066 trillion this year amount higher than last year’s objective of P940 billion and the actual tax-take of P924 billion.