BIR-Davao closes Bluejazz for underdeclaration of sales

THE Bureau of Internal Revenue (BIR) in Davao region issued on Tuesday a five-day closure order to the management of Bluejazz Beach Resort and Waterpark in the Island Garden City of Samal (Igacos) for underdeclaration of sales.

BIR regional director Lawyer Glen Geraldino said it was November of last year that his office found out that the resort management had been violating the Tax Code of the Philippines, specifically the underdeclaration by more than 30 percent of its sales.

Geraldino said it was only last Tuesday that they finally issued the closure order against the resort as they had to validate the data, including the sales receipts.

"We have to give them due process. Hindi agad isara. We have to confirm the data. It will take some time," Geraldino said in a telephone interview Wednesday afternoon.

He said that some 200 establishments were under monitoring last year.

Geraldino joined the team from the agency's revenue district in Tagum City who conducted on Tuesday the Oplan "Kandado" program to temporarily shut down the resort for business.

Geraldino said the resort management is cooperating to comply the requirements and pay the underdeclared sales within five days.

He added that the resort will be allowed to operate again as soon as the requirements will be complied.

In a previous press conference, Geraldino said a total of 17 establishments were closed last year, mostly due to underdeclaration of sales.

Based on the 2012 record, BIR collected a total of P9.19 billion, up by P1.09 billion compared to 2011's P8.1 billion.

For this year, the agency is eyeing to hit the target of P11 billion.