Thursday, October 18, 2007 Fil-Chinese pay right taxes
AN official of the Filipino-Chinese Chamber of Commerce and Industry (FCCCI) Cebu is calling on its members to comply with tax laws to “clean up” the community’s image.
FCCI Cebu president Filomeno Lim dismissed allegations that many Chinese business establishments do not pay correct taxes, saying that legitimate Filipino-Chinese traders have become “more responsible” unlike before.
He urged the Bureau of Internal Revenue (BIR), though, to “run after” establishments that belong to the underground sector of the economy, such as ambulant vendors, who do not pay taxes.
“We encourage our members to pay the right taxes, and avail of the tax amnesty so that our image will be cleaned,” Lim told reporters in an interview, following a forum sponsored by the BIR on the Tax Amnesty Law.
In compliance with Republic Act (RA) 9480, also known as the Tax Amnesty Law, Lim said FCCCI-Cebu issued a circular to its 600 members, telling them to take advantage of the benefits of the amnesty “and to clean up our image as tax evaders.”
He also brushed aside allegations that several Chinese businessmen are maintaining three accounting books—one intended for internal operations, another for BIR and the third for its investors—to hide their real income and avoid paying the right taxes.
“I don’t agree that there are businessmen keeping two or three books. There might be some, but the number is very minimal,” Lim said.
Amnesty
FCCCI members in the cities of Cebu and Lapu-Lapu attended the BIR-led Tax Amnesty Road Show held at the Cebu Grand Convention Center last Monday. The highlight of the event, which gathered bookkeepers, accountants and private sector representatives, was a talk by the author of the tax amnesty law, Quezon Rep. Danilo Suarez.
RA 9480 provides, among others, immunity from payment of taxes and penalties due to non-payment of tax for 2005 and prior years; inadmissibility of the tax amnesty return and statement of assets, liabilities and net worth (SALN); immunity of the SALN and tax amnesty return from being inquired or looked into by any person; and immunity from audit.
In his speech, Suarez urged all taxpayers to avail themselves of the tax amnesty as this might be a “one-time” offer from the government.
He said the government expects to collect P4 billion to P12 billion in taxes under the amnesty law.
But Lim said the government can improve its tax collection efficiency if it could identify those involved in underground businesses and convince them to pay their taxes properly.
Lim said that among the “unlicensed businesses” that government has not been able to tax properly are sidewalk vendors, middlemen, vegetable transporters, small apartment operators and ambulant money changers. (MMM)
