Philippines Gets Tough on Tax Evaders

January 7, 2013 Taxation in Philippines

FlagMANILLA – The Philippines’ efforts to crack down on tax evasion are paying off, with the government pursuing hundreds of cases of evasion over the last two years.

The Department of Finance (DOF) of the Philippines has kicked of the new year by releasing a statement on January 6th revealing that since 2010 the government has launched legal action against more than 300 occurrences of tax evasion, corruption, bribery, and smuggling.

According to the DOF, over the last 2 years 140 cases have been filed against tax evaders under the government’s Run After Tax Evaders (RATE) program, with an estimated cumulative value of the evaded taxes of PHP 44.27 billion.

Over the same timeframe the national Bureau of Customs filed 89 cases under its Run After The Smugglers program, and the Revenue Integrity Protection Service launched legal action against 50 cases of corruption.

Explaining the significance of the results, the Finance Secretary of the Philippines Cesar Purisima said that the active pursuit of tax evaders shows the DOF’s commitment to fulfilling the promise to uphold accountability in the country and not to tolerate the occurrence of corruption.

Commenting on the future steps which will be taken by the DOF this year, the Internal Revenue Commissioner of the Philippines Kim Henares said that the national Department of Finance and the Bureau of Internal Revenue will “…continue to investigate and hammer down tax evaders, especially self-employed professionals who dishonestly report their tax returns.”

Photo by Maerks