PUBLICLY-LISTED property developer Megaworld Corp. is still not yet off the hook as the Bureau of Internal Revenue – Large Taxpayers Service will now be the one auditing the sale of Taguig properties that the company is developing under its joint venture with state-run Bases Conversion and Development Authority .
Asked by House Ways and Means Committee Chair Albay Rep. Joey Salceda whether the BIR Large Taxpayers Service will be auditing Megaworld, Napao said: “Yes, Mr. Chair. That is the instruction.” Prior to the suspension of the creation of special audit task forces, BIR Regional Director Eduardo Pagulayan, Jr. of the agency’s Revenue Region 8-B said during the hearing that it was looking into the properties owned by BCDA which were being developed by Megaworld.
He said Megaworld initially refused to give their records for the audit done by the special task force, prompting BIR’s plan to issue a closure order against the company.However, Megaworld Executive Vice President and Chief Strategy Officer Kevin L. Tan argued that they have been responsive since the first letter of authority was issued by BIR.
Megaworld said they have been raising the issue of jurisdiction of the BIR regional office to conduct the audit on their properties. Salceda said his three main recommendations include the need for a promulgated common procedure on taxpayer dispute, codifying the rights and responsibilities, as well as timelines and procedures, for resolving taxpayer disputes on jurisdiction, coverage, applicability and otherHe stressed the need to simplify and finalize the rules on whether joint ventures should be registered as separate entities for tax purposes.
I hope walang tiga-BIR na biglang magka-condo dyan. Ehem.