BIR files tax evasion case vs CJH Leisure

MANILA, Philippines - The Bureau of Internal Revenue filed before the Department of Justice a tax evasion complaint  against Baguio-based  property developer Camp John Hay Leisure Inc. (CJHL) for racking up P88.54 million in unpaid taxes.

CJHL and its responsible officers are   facing a complaint for violation of the National Internal Revenue Code for willful attempt to evade taxes and provide correct information in income tax returns for 2006 and in 2009 to 2011.

CJHL, the operator of Camp John Hay Manor  declared gross earnings of P8.95 million in 2006, P11.6 million in 2009, P11.33 million in 2010, and P12.65 million in 2011.

However, an investigation conducted by the BIR showed that CJHL earned P34.53 million in 2006, which means it  underdeclared income  by P25.58 million or by 286 percent.

For 2009, the company was found to have undeclared earnings by 253 percent or P29.32 million.

In 2010 and 2011, CJHL reportedly underdeclared income by 251 percent and 252 percent, respectively.

Among the respondent officials  Alberto Q. Avanceña (president), and financial controllers Rialena E. Magat and Rodeen A. Cruz.

Camp John Hay Development Corp. (CJHDevCo) earlier won a case it filed against the Bases Conversion Development Authority.

The Philippine Dispute Resolution Center ordered the BCDA to pay P1.5 billion to CJHDevCo, representing rent remitted by the company to the government agency since 1998.

The arbitration case was filed in Jan. 12 as it sought to confirm the validity of a decision to nullify an agreement it inked with the BCDA  in 2008 due to the latter’s alleged “breaches”.