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Business man guilty of tax evasion

The Court of Tax Appeals (CTA) has found Mr. Wong Yan Tak, a convenience store businessman guilty of tax evasion and sentenced him to suffer an indeterminate penalty of imprisonment of one (1) year as minimum to two (2) years, as maximum, and ordered him to pay the fine of P10,000.00. 

Mr. Wong Yan Tak is the President and Store Manager respectively of Pic N’ Pac Mart, Inc., a domestic corporation with  registered address of 2080 Leveriza St., San Andres, Manila.

In a decision penned by Associate Justices Lovell R. Bautista and Olga Palanca-Enriquez of the CTA’s Third Division promulgated last October 17, 2012, they favored BIR in its suit against Mr. Wong Yan Tak and Geralyn Bobier of Pic N’ Pac Mart, Inc. in establishing beyond reasonable doubt of their violation of Section 255, in relation to Sections 253 (d) and 266 of the 1997 National Internal Revenue Code, as amended. To date, Ms. Bobier cannot be located and is still at large.

Mr. Wong claimed that he was no longer connected to Pic N’ Pac Mart Inc. when Goldhill Holdings Philippines bought it last January 10, 2000, as evidenced by an Asset Sale and Purchase. He also claimed that his right of due process was violated, as he was not properly served any of the BIR’s subpoenas, notices, demands, assessment notices (PAN and FAN) or vital documents related to the case.

However, even while the convenience store’s assets and not shares of stocks were sold to Goldhill Holdings last 2010, Mr Tak still remained the President of Pic N’ Pac Mart, Inc.  Also, BIR maintained that all the assessment notices and demand for payment were served on the same registered address where he was served the warrant of arrest last August 6, 2008.

As to the civil liability, the CTA ordered the accused to pay the BIR the amount of P 3,552,716.81, plus 20% delinquency interest per annum from September 9, 2005, until fully paid pursuant to Section 249 of Tax Code, as amended.