Expats' dummies own most of dive site's properties

[Rhoody]

Well, here is the latest episode of "everybody's Darling", the Mayor of Dauin...

the article was just yesterday in the MB ( Expats' dummies own most of dive site's properties | Manila Bulletin )

Expats' dummies own most of dive site's properties
September 3, 2009, 7:53pm

DUMAGUETE CITY (PNA) — Most if not all of the foreshore areas in Dauin town in Negros Oriental are now in the hands of foreigners engaged in the business of resorts and dive shops.

Dauin, which is some 12 kilometers north of Dumaguete, capital city of Negros Oriental province, is considered one of the best world-class dive destinations in the country.

A total of 14 foreigners reportedly own resorts and beaches in Dauin, some of them using dummies
as incorporators.

This was confirmed by Mayor Rodrigo Alanano who assured his constituents he will pursue efforts to collect taxes from said dummy-fronted businesses.

The mayor said he has reason to believe some of these resorts and dive shops are not paying the right taxes due Government.

He said these resorts earn millions of pesos, but not even a fourth of their gross income is declared.

The mayor disclosed that these resorts and dive shops buy tickets from the municipality at R200 per dive at the marine sanctuary and then turn around and sell these tickets for as much as R2,500 to dive enthusiasts.

From January to July this year, Dauin town had earnings of R6.5 million from dive tickets alone.

With data gathered in cooperation with the Bureau of Internal Revenue, Alanano said he will not stop and will not give up until these foreigners pay the right taxes.

Alanano said one foreigner engaged in resorts and dive shops is presently establishing an upland resort with a different name using dummies.

seems like more interesting stuff will come up in the last few month of his "kingdom"

 

[Babydamulag]

Let the businesses close up and he'll realize a thing or two.....

 

[Rhoody]

well, I just got another report in about the closing of the Pacific Breeze hotel in Angeles City...

Thursday, September 3, 2009

ANGELES CITY -- Sending a strong message to tax violators, the Bureau of Internal Revenue (BIR) continues to close down erring business establishments through its nationwide "Oplan Kandado" program.

Revenue officials on Thursday swooped down Pacific Breeze Hotel here to serve the closure notice for not declaring around 70 percent of its total income.

The closure notice was served by BIR Regional Director Romulo Aguila Jr., Deputy Commissioners Celia King, Lucita Rodriguez, and Paul Vidanez, and Remier Macatangay, who represented BIR Commissioner Sixto Esquivias IV.

“The establishment failed to comply with the procedures and have been notified repeatedly to settle accounts but have failed to do so,” Aguila said.

He added that the company would have to settle its accounts before it could operate again.
Aguila said the Oplan Kandado Program was implemented early this year and is aimed at shutting down firms that with deliberate intent do not file tax returns or issue statements and those that understate their revenues or income by more than 30 percent.

"Oplan Kandado is the flagship project of Commissioner Sixto Esquivias IV, wherein the BIR will padlock establishments that are violating the law, particularly the Value Added Tax (VAT),” Aguila said.

Aguila is asking the public to help report tax evaders because they will not only be helping the government but also themselves.

As a BIR informer, they will be entitled to monetary rewards under the BIR's Run After Tax Evaders or RATE program.

Under the program, an informer is entitled to 10 percent of the amount that will eventually be collected from the tax evaders.

Pursuant to Section 115 of the Tax Code, any establishment found to be in violation of non-issuance of receipts, not filing of tax returns, under declaration of sales by at least 30 percent, will be a candidate for closure under the said program.

The BIR also assured that all information regarding the informers will be in full confidentiality to guarantee their safety.

SunStar Report.

seems like the Mayor in Dauin wants to "go with the flow" and hopes to get into the headlines too...

I guess that's the way to get international investors really interested in the Philippines...

 

[clgsamson]

Let the businesses close up and he'll realize a thing or two.....

But he'll just let his own 'dummies' take over the businesses. He'll be one happy kitty for sure.

 

[Babydamulag]

I want to be very clear about this - If the foreign owned business is not paying the taxes and fees due.....shut their butts down and run them off!! We go out of our way to make sure we do not violate the law in any way with our business. Maybe the foreign owned businesses need to hire an attorney to manage their affairs....like we did 3 years ago. I have no mercy for those that violate the law. We are guests and we need to make sure we follow rules. Ano bayan!

 

[clgsamson]

Ang galing mo babyd!

 

[neugierig]

come to think of it, i normally don't get a real OR from any shop or resort i dive with. i only get a slip or piece of paper of some sort if i ask for one.

exception to the rule would be maribago blue water. but that's the only one i can remember that gave a real reciept.

 

[Babydamulag]

Smok'em if ya got'em -
‘No tax payments, no business ...
Looks like our officials are taking the high ground too. Finally. Collect those taxes!!! Close the violators down!!!

 

[Rhoody]

I know some of the resorts in Dauin very well and they do have their stuff in good order and do pay Millions of taxes.

Many are international companies anyway and they make the money before it even comes to the Philippines or 2 - 5 companies running one resort and they still pay way higher taxes than equivalent run philippino places ... over and under the table ...

In fact, this places are responsible that many millions of dollar and euros are spend in this country by visitors... I wonder where most of the main dive-destination would be on the diving-world-map if the resorts are run locally.

I do absolutely agree to your statement to shut all down who don't pay taxes appropriate, I can sign that statement.. well, guess going by numbers, all local business would close first...

But they simply try to steal money for each and everything out of plain jealousy and dumbness

In the case of Dauin, I did some quick calls and research. Without reaching all resort, the mayor of Dauin should have over 10 Million peso through ticket-sale in his safe... I wonder where the missing 3.5 Millions are...

 

[Babydamulag]

Well, graft and corruption is everywhere. I can't comment to the amount going on there but I do know we (foreign businesses) "must" do our part to be legal and above board. I hear about the "under the table" stuff but I have never witnessed it. Our industry is fragile. Our business depends on the government allowing us to operate. Foreign owned businesses are really 60/40's. There are nationals that participate in the business venture in some way. It does concern me when I hear of elected officials doing shady stuff. I am a guest and can only participate in my community to the extent of my "guest status". I still love my adopted home no matter what some bad apple politicians might do. They will get theirs in due time...oh yeah, they will get theirs in due time!