KABANKALAN CITY -- The Bureau of Internal Revenue (BIR) Region 12, through its Oplan Kandado program, has closed an establishment in this southern Negros Occidental city for several tax violations.
Officials of BIR Region 12 and BIR Revenue District Office 78 (RDO-Binalbagan), along with personnel of Kabankalan City Police Station and barangay council officials, served the closure order against Myca’s Store in Barangay 2 Friday, March 12.
Officer-in-charge chief Legal Division of BIR Region 12 lawyer Roev Bryl Sobrejuanite, who led the operation, told SunStar Bacolod that the store was subjected to surveillance last year.
Sobrejuanite said the BIR examiners found out that there was an underdeclaration of sales for more than 30 percent. Also, the store is not issuing receipts and it failed to file value-added tax (VAT) returns.
“Under Section 115 of the Tax Code, or the Republic Act 8424 as amended by several laws, the commissioner of the Bureau of the Internal Revenue may suspend the business operation of the store that is in violation,” he added.
The Oplan Kandado is a continuing activity of the agency to encourage taxpayers to declare the right amount of their sales.
There was no resistance on the part of the establishment. Though, the owners were not around during the operation.
The workers were advised to pull out all perishable goods to avoid losses and to see to it that circuit breakers are turned off.
Barangay Kagawad Valeriano Nillos, who is helping the owners in running the business, said the store is selling various goods including bakery, rice and sugar, among others.
It is supplying other stores in the city as well as nearby localities including Cauayan, Candoni and even Sipalay City.
Nillos said they were told by the owner to just follow the instruction and advice given by the BIR.
“They (owners) assured that they will comply with the requirements set by the BIR,” he said, adding that the store will try to settle deficiencies as soon as possible so they can immediately resume operation.
Pursuant to Section 115 of the Tax Code of 1997, the establishment will be temporarily closed for at least five days.
“If they can settle their tax liabilities and deficiencies, it may open after the five-day minimum period,” Sobrejuanite said, adding that “if they cannot, it will remain close.”
For her part, Revenue District Officer Lilivic Gatdula said this is the first establishment covered by RDO-Binalbagan to be closed due to tax violations this year.
RDO 78 covers 18 cities and municipalities, from Bago City to Hinoba-an.
Gatdula, who was also at the operation, clarified that Myca’s Store is actually not just a small "sari-sari store" based on its exterior appearance but a "wholesale store" as it sells many goods in bulk quantity.
“Its qualification should be different so it has to update its registration,” she said, adding that the BIR requires voluntary compliance on the part of the taxpayers so they can avoid penalties.
Some workers of the store, meanwhile, are saddened by the closure of the establishment.
Jackilyn Dulla expressed worries about how to provide for her family’s needs now that the store she works for has been closed.
Her co-worker Jessel, who is seven months pregnant, hopes that the store can open sooner because she needs to earn and save before she gives birth.