Tax charges to be filed against John Lloyd

MANILA, Philippines - The Quezon City Prosecutor’s Office has recommended the filing of tax charges against actor John Lloyd Cruz for alleged failure to present his books of accounts and other records for 2004.

The TV and movie personality is facing before the Quezon City regional trial court charges of violation of Sections 15 and 14 in relation to Section 266 of the Tax Reform Act of 1997.

Second Assistant City Prosecutor Rogelio Velasco recommended in a resolution the filing of charges against the actor after granting the motion for reconsideration filed by the Bureau of Internal Revenue.

The revenue agency filed the motion for reconsideration after investigating prosecutor Eduardo Ramon Reyes on July 3, 2009 dismissed the case due to lack of probable cause. Reyes ruled that the filing of tax code case against Cruz was premature since his privilege for the availment of the government’s amnesty program has not yet been withdrawn.

But the BIR said that the suspension of the tax audit or investigation against Cruz was lifted because of his failure to comply with the requirements of the Enhanced Voluntary Assessment Program.

The BIR sent a letter on June 28, 2006 to Cruz regarding his availment of the program, informing him of his failure to submit various forms and his failure to pay additional EVAP payment worth P280,960.25 to qualify for the last priority in audit. The agency issued on June 15, 2007 the subpoena duces tecum against respondent for his failure to comply with said demand.

Despite this, the respondent allegedly failed and refused to appear and bring records demanded from him. The BIR then filed the charges on March 26, 2008.

Cruz had asked that the BIR’s motion be denied on technical and substantial grounds, claiming it did not contain a notice of hearing and it had no legal nor factual basis.

But Velasco ruled there were sufficient grounds to file the case before the court. He said Cruz’s failure to appear and bring the records “consummated the offense charged.”