Pacquiao Bank Deposits Frozen

[jake]

Manila, Philippines – Boxing idol Manny Pacquiao, who scored a unanimous victory over American Brandon Rios in their World Boxing Organization (WBO) international welterweight title fight last Sunday in Macau, suffered a setback at home when the Court of Tax Appeals (CTA) ordered his bank deposits frozen over a P2.2-billion tax case.

The tax court’s First Division issued the freeze order some two weeks ago but it was only known yesterday, a day after Pacquiao’s emphatic win. The boxing icon’s lawyers had earlier protested before the CTA the warrant of garnishment (WG) issued by the Bureau of Internal Revenue (BIR), attaching his personal assets that included his bank deposits.

The BIR normally issues WG to prevent delinquent taxpayers facing court suits from disposing of his or her assets during the trial.

US Income Unreported

The tax case arose from the alleged failure of Pacquiao’s accountant to report in his income tax returns (ITR) the multi-million-dollar taxes collected by the US Internal Revenue Service (IRS) from his prize winnings for the years 2008 to 2009.

Pacquiao said the assessment, which included interests and surcharges, was “arbitrary,” stressing he could not afford to pay the assessment because it was more than his net worth.

BIR lawyers said, however, that the tax debts have become “demandable, executor, and collectible” because the solon allegedly ignored to answer the final assessment notice (FAN) sent to him, which expired 30 days after receipt as provided for in the Tax Code.

Revenue officials explained that as a Filipino citizen, Pacquiao, a congressman representing Sarangani province, is required to declare in his ITR all his earnings, including those derived from abroad.

http://www.mb.com.ph/pacquiao-bank-deposits-frozen/

[Terpe]

Can't he afford a competent tax accountant ?

Tongue-in-cheek I know, but it reads as though someone hasn't been following the needed process.

[jake]

Can't he afford a competent tax accountant ?

Tongue-in-cheek I know, but it reads as though someone hasn't been following the needed process.

A yellow polo neck t shirt might have helped

[Terpe]

According to BIR they only need to have documentary sight of the tax paid to IRS

Manny says they've got all the docs and they say they haven't.

Someone don't like him.....

[andy222]

Can't he afford a competent tax accountant ?

Tongue-in-cheek I know, but it reads as though someone hasn't been following the needed process.

I'm sure Cameron or Osborne can give him the number of their accountants,

[grahamw48]

Looks like the Filipino ruling classes want their share of his winnings. Surprise surprise.

[Terpe]

Pacquiao: It's earned money, not DAP, PDAF


Professional boxer and Sarangani Rep Manny Pacquiao cries foul over a Court of Tax Appeal order to freeze his bank accounts.

Fresh from his victory against American boxer Brandon Rios in Macau, professional boxer and Sarangani Rep Emmanuel "Manny" Pacquiao now faces a different opponent – the Bureau of Internal Revenue (BIR).

Pacquiao said the tax bureau ordered his bank accounts frozen due to a P2.2-billion tax evasion case, leaving him financially paralyzed.

"This is harassment," the former eight-division world champion said in a television interview.

The disclosure came just two days after Pacquiao, 34, resurrected his boxing career with a unanimous points decision over Rios in Macau.

He dedicated his victory to victims of Super Typhoon Yolanda (Haiyan), which claimed thousands of lives in Visayas region this month. (READ: Haiyan survivors to Pacquiao: Help us)

Pacquiao arrived in the Philippines Tuesday, November 26 and immediately addressed the tax issue in a statement released to the media.

In his statement, he hit back calling BIR's accusations "baseless."

"The BIR claims I earned more than what I actually did, without any evidence to back it up. They ignored information given by Top Rank and HBO and insisted I earned more," he said. "My lawyers have given them all the info that they want and they still refuse to believe. I really don't know why I am being singled out."

Pacquiao asked the Court of Tax Appeals to lift the bank freeze, but the court has yet to rule on the petition, according to court papers.

'Not DAP or PDAF'

Pacquiao, who is on his second term as Sarangani representative, compared his situation with the legal scrutiny being faced by public funds.

"Hindi ako makapag-withdraw ni isang singkong sentimo sa sarili ko pong pera. Hindi ko magamit para man lang makatulong. Ang pera kong ginarnish ng BIR ay hindi po nakaw at hindi po PDAF (Priority Development Assistance Fund) o DAP (Disbursement Acceleration Program). Ito po ay galing sa lahat ng suntok, bugbog, pawis at dugo na tiniis ko sa boxing," he added.

(I cannot withdraw even one cent of my own money. I can't even use it to help. My money that was garnished by the BIR was not stolen, it's not PDAF or DAP. It came from all the punches, sweat and blood that I endured in boxing.)

The Supreme Court earlier declared lawmakers' PDAF, the subject of a multibillion scam, as unconstitutional. Meanwhile, the court is presently hearing oral arguments for DAP, the executive's economic booster scheme.

'Only P1M was frozen'

BIR chief Kim Henares confirmed that bank accounts of Pacquiao and his wife were frozen.

However, she denied any harassment, saying only two bank accounts containing a total of P1.1 million were held.

She said she issued a warrant of distraint and levy after Pacquiao failed to pay his liabilities. "We wrote banks and told them if you see his money, tell us how much and garnish that amount," she said in a radio interview.

She said out of 22 banks they wrote, only two reported holding accounts owned by the boxing champ.

"Our presumption is there's no other money that's been garnished except for that P1.1 million. The banks should have reported it to us if they are in fact holding money in custody for the government."

The amount is measly considering the huge winnings Pacquiao takes home from his boxing matches.

Asked where he could be keeping the rest of his money, Henares replied: "Ay hindi ko alam sa kanila. Posibleng na-withdraw na bago na-garnish. O kaya ang pera n'ya ay wala dito, nasa America or nasa ibang bansa." (We don't know with them. It's possible he already withdrew his money before we ordered it garnished. Or maybe his money's not here, it's in the US or some other country.)

Tax case

The freeze order stemmed from a P2.2-billion tax case filed by the tax bureau against Pacquiao.

BIR claimed Pacquiao failed to declare his winnings from his 2008 and 2009 boxing matches in his income tax returns for said years.

But the boxing icon said he already paid taxes on those earnings in the US, which has a treaty with the Philippines that allows citizens of both countries to avoid double taxation.

He said the tax bureau rejected the documents he provided to prove he had already paid the US Internal Revenue Service (IRS).

"I am not a criminal or a thief. I am not hiding anything. I will face my problems as they come," Pacquiao said.

"I have already paid my taxes in America. Had I not paid the correct taxes they (US authorities) would have come after me and I would not have been able to travel there."

Henares said that taxes paid in the US are creditable here, but she stressed a proper process of filing must be followed.

"Kailangan i-report lahat ng kita mo, tapos ko-kompyutin ang tax sa Pilipinas. Tapos no'n pwede mong ibawas ang binayad mong buwis sa America pero dapat may evidence na nagbayad ka sa IRS." (All earnings must be reported in the Philippines and your taxes will be based on that. After that, taxes you paid in the US will be deducted provided you have evidence that you indeed paid the IRS.)

Henares said Pacquiao failed to submit the proper documents.

She said the bureau gave him two years to respond to their assessment but all he submitted was a letter from his US promoter Top Rank saying he had paid his taxes in the US, according to Henares.

"Anyone can write that. That's not official document," she noted.

President Benigno Aquino's spokesman Herminio Coloma brushed off suggestions Pacquiao was being singled out for political harassment.

"We are a government of laws, not of men," Coloma told reporters.

The government has been running a campaign against high-profile tax evaders, targeting movie stars as well as businessmen who flaunt their wealth through flashy sports cars.

Donations for Yolanda victims

Pacquiao said most of his cash was kept in his Philippine bank accounts. He did not say how much was garnished.

He said the freeze order left him without money to pay his staff, and forced him to borrow "not less than one million pesos" to fulfill pledges to help victims of Typhoon Yolanda.

Pacquiao is now eyeing more lucrative fights in the US as he continues to pursue a political career.

At his peak, he was regarded as the best pound-for-pound fighter in the world, becoming the only man to win world titles in eight weight divisions.

The former street kid who ran away from home to pursue a boxing career became one of the globe's wealthiest athletes.

But his career nosedived after suffering two losses last year, the second in a humiliating knockout to Mexican Juan Manuel Marquez that prompted questions over whether the ageing warrior should retire.

But even last year, Forbes magazine listed him as the 14th highest-paid athlete globally with an estimated $34 million in earnings

Source:-
http://www.rappler.com/business/4464...er-tax-evasion

[grahamw48]

If this is how they treat a national hero, role model and benefactor...while letting the Marcos clan off the hook.

[gWaPito]

According to BIR they only need to have documentary sight of the tax paid to IRS

Manny says they've got all the docs and they say they haven't.

Someone don't like him.....

Very convenient all of this for the Philippine Govt..strange how it comes about while East the country is in the throws of being rebuilt

I wouldn't hang it on Manny's guys ....a while back a congresswoman said how corrupt the Philippine Govt is

[gWaPito]

If this is how they treat a national hero, role model and benefactor...while letting the Marcos clan off the hook.

Thieving scumbags .....this is making the Philippine Govt a ....... worldwide laughing stock..not only they content with making political gain over their latest calamity now, they want to screw over, like Graham said, the country's national hero..............they are all a bunch of fatherless gits!!!!!!!

[grahamw48]

IN THE MEANTIME...THIS is what is happening to some of the neediest people in the country. (Copied and pasted from an expat site).

.
'Another close friend went back home to Guian to find her 4 siblings had died, her family home gone and her mother with untreated compound fracture of a leg (that was infected from not being treated or cleaned) ............... well she was robbed at gunpoint on bus prior to arriving into Tacloban and again at gunpoint in the Medical CLinic where she took her mother (UFB!!!)

She was finally given a wheelchair and got a C130/117 flight to Manila BUT that was it -- dropped at airport then NOTHING -- no agencies or Relief funds to assist and 280p in her pocket and the mother had to be taken to hospital to get wound cleaned and plaster cast (?). Philippines General Hospital told her "You aren't in province now -- you must pay for medicine and treatment" -- TRUE COMPASSION !!

Well she got a little money and is now waiting a few more days for her mother to be well enough to transport back to Tarlac... and she can be with the only family she has left - her daughter and 3 grand kids'.

[fred]

To be frank,I reckon this can be resolved pretty quickly..Manny has said his piece and the BIR theirs.. It seems all they want is proof that Manny paid his taxes in the US in 2009.. A U.S tax receipt is what they need.. Not a letter from HBO or top rank..
There are a lot of worried Senators here now because of the inquiry into missing pork funds..If they can keep their witnesses alive for long enough then they will stir up a lot of ...... I have noticed a lot more discipline here in all public offices of late and there are a lot more paranoid millionaires than before..
Just send em your U.S receipts Manny and that`ll be it..
Damn!!,I hope you didnt lose them!!

[gWaPito]

To be frank,I reckon this can be resolved pretty quickly..Manny has said his piece and the BIR theirs.. It seems all they want is proof that Manny paid his taxes in the US in 2009.. A U.S tax receipt is what they need.. Not a letter from HBO or top rank..
There are a lot of worried Senators here now because of the inquiry into missing pork funds..If they can keep their witnesses alive for long enough then they will stir up a lot of ...... I have noticed a lot more discipline here in all public offices of late and there are a lot more paranoid millionaires than before..
Just send em your U.S receipts Manny and that`ll be it..
Damn!!,I hope you didnt lose them!!

Well, if he gets his money back, I'll be surprised if he stays fulltime in The Philippines..it'll be much like the way those bent Judges treated him in that Bradley bout..he won't be going back to Arizona. ''Once bitten, twice shy''

''Despite Pacquiao's perceived dominance, Bradley won the fight via split decision in what can accurately be called one of the biggest judging gaffes in recent memory.''


http://bleacherreport.com/articles/1...manuel-marquez

[fred]

Well, if he gets his money back, I'll be surprised if he stays fulltime in The Philippines..it'll be much like the way those bent Judges treated him in that Bradley bout..he won't be going back to Arizona. ''Once bitten, twice shy''

''Despite Pacquiao's perceived dominance, Bradley won the fight via split decision in what can accurately be called one of the biggest judging gaffes in recent memory.''


http://bleacherreport.com/articles/1...manuel-marquez

He`ll get it back if he shows them his 2008/2009 U.S tax receipt.. End of.

[KeithD]

Forget the receipts, just go for a face to face meeting with the BIR, we know who will win

[grahamw48]

[gWaPito]

He`ll get it back if he shows them his 2008/2009 U.S tax receipt.. End of.

Manny has furnished the authority with the required certified copies of those receipts. The authority won't accept. ..They want the originals. ...which by all accounts, even it's own U.S citizens can't get a hold of. Those tow rags are asking for the impossible.

Shame on The Philippine Government

[fred]

Manny has furnished the authority with the required certified copies of those receipts. The authority won't accept. ..They want the originals. ...which by all accounts, even it's own U.S citizens can't get a hold of. Those tow rags are asking for the impossible.

Shame on The Philippine Government

I didnt know that.. I watched the news here last night and they say they only have a letter from Bob Arum which they say is not acceptable..
A copy will be sent over from the IRS in a couple of weeks and that`ll be an end to it..
Job done.

[gWaPito]

Ira V. Panganiban Via Facebook

Dear Kim Henares,

I do not doubt your sincerity to collect taxes from every Filipino, living or dead. I do not even doubt your integrity in making sure that you are able to collect the proper taxes from everyone.

I am however questioning your motives and arbitrary choice in the personalities you choose to prosecute. I am going to cite one particular person who has been on the BIR's radar as a perennial tax evader for the last 20-years with cases going in and out of court.

His name is Lucio Tan and he owes the country more than 5-billion pesos in tax liabilities decided on numerous times by the Supreme Court as executory and final and yet no garnishment order was ever made until his petition reaches the SC, who would then reverse their decisions time and again. Lucio Tan was never known for his philanthropy or good business practices. He authored the contractualization of PAL and Asia Brewery employees which was not only detrimental to Filipino Labor but also to taxes that could be collected from these workers had they been regular employees. Lucio Tan is also accused of ill-gotten wealth from his Marcos days, and yet he continues to enjoy his money.

Congressman Manny Pacquiao's case is not even at the High Court and his earnings have already been garnished.
You have been given certified true copies of Pacman's tax payments in the US and yet you refuse to recognize this and insist on originals which I believe, but I may be mistaken, even ?US citizens have no access to. And to think that Pacquiao earned his money through honest, literally blood, sweat and tears. And he is one of about ten persons who insist in keeping his money in the Philippines because he is a patriot. He could have stashed it somewhere you cannot reach if he had things to hide, but he kept it here, so our economy can make use of it.

You cannot even freeze the money of politicians involved in the PDAF scam but you can do this to an ordinary man who managed to rise above all of you through hard work, guts, integrity and the work of his own hands. And that is why your integrity is rapidly being eroded, because you don't seem to think anymore. You just grab the first victim that cannot fight you. Because even if Pacquiao is a Congressman, he is not connected to the old boys club and so does not have the clout of the Tan's, Sy's, Dy's and others. Oh, and Lucio Tan did give over 100 million to Noynoy's election kitty while Pacquiao was with the opposition. I guess we know now the motivations don't we?

Yours disgustedly,

Your Boss's Boss (A Philippine taxpayer)

[grahamw48]

Excellent....and as I see it too.

[gWaPito]

Excellent....and as I see it too.

Thanks for the rep Graham...This story is so bad

[fred]

While the champion appeared stunned and claimed he was being harassed, it was in fact just the latest strike by the revenue bureau since Aquino came to power in 2010 that has targeted hundreds of rich or famous Filipinos.

“When ordinary people see that we are going after popular and well-known figures... it drives home the point that paying taxes is a civic duty,” Claro Ortiz, who runs the bureau’s Run After Tax Evaders (RATE) campaign, told AFP.

http://www.dailytimes.com.pk/default...-12-2013_pg4_1

[gWaPito]

While the champion appeared stunned and claimed he was being harassed, it was in fact just the latest strike by the revenue bureau since Aquino came to power in 2010 that has targeted hundreds of rich or famous Filipinos.

“When ordinary people see that we are going after popular and well-known figures... it drives home the point that paying taxes is a civic duty,” Claro Ortiz, who runs the bureau’s Run After Tax Evaders (RATE) campaign, told AFP.

http://www.dailytimes.com.pk/default...-12-2013_pg4_1

It's a duty for most unless your name is Lucio Tan......He's the guy who stole £900 million when it should of went to help poverty in the Philippines.

http://www.youtube.com/watch?v=k3bl1_FQcy8

[fred]

It's a duty for most unless your name is Lucio Tan......He's the guy who stole £900 million when it should of went to help poverty in the Philippines.

http://www.youtube.com/watch?v=k3bl1_FQcy8

Corruption here runs so deep..Its a very intricate web that goes back decades.. Lucio Tan is one of the old school business men here and has worked the system perfectly to his benefit for years..He has layer upon layers of good ole boy protection.
There are thousands more just like him BTW..
Aquino said when he was elected that his priority is to fight corruption.. Many have said this in the past and yet they have not scratched the surface..
To be fair,he has been keeping his promise and tiny cracks are beginning to appear.. Whether or not he can drive a deeper wedge into these cracks is another matter... The country needs revenue and the mega rich will start to need to keep perfect records as potencial tax cheats come under closer scrutiny.. Manny Pacquiao is one of many that will be offended during this process..Its that simple.
I`m not saying its right or wrong.. Just saying this is but one of the tactics that Aquino has adopted within in his short term as president in order to get corruption by the scruff of the neck..
My opinion lang.

[London_Manila]

If this is how they treat a national hero, role model and benefactor...while letting the Marcos clan off the hook.

Yes the fantastic national hero who dont want to pay his taxes

Just because he was a good boxer does not excuse him from paying tax

[jake]

Why do some of you see Manny as the victim?

He was told 18 months ago to submit his tax records. All the BIR needs is the official form sent from the US and the problem could have been resolved. Not sure why that is so difficult.
http://www.sunstar.com.ph/manila/loc...il-time-213928

[jake]

A copy will be sent over from the IRS in a couple of weeks and that`ll be an end to it..
Job done.

Perhaps not!

Manny Pacquiao Reportedly Owes IRS $18 Million

Manny Pacquiao's next fight may be with the United States government, as reports have surfaced that the Filipino boxer owes the IRS more than $18 million in back federal income taxes.

According to official documents obtained by TMZ, Pacquiao failed to pay income tax on his earnings from 2006 to 2010, with his official debt totaling $18,313,668.79. The 34-year-old welterweight, who turns 35 on Dec. 17, spent much of his rise to prominence fighting overseas but began gravitating toward large United States-based spectacles as his international fame rose.

Pacquiao fought 12 times from 2006 to 2010, all but one of which were in the United States. Three of those bouts took place in Texas, which does not have a state income tax, but he would still be subject to federal income tax.

TMZ had the year-by-year breakdown on the individual totals Pacquiao owes the IRS:

2006: $1,160,324.30
2007: $2,035,992.50
2008: $2,862,437.11
2009: $8,022,915.87
2010: $4,231,999.01

The increases in amount owed seem to coincide with Pacquiao's rise to arguably the most popular boxer in the world. In 2008, he defeated Juan Manuel Marquez, knocked out David Diaz and stopped Oscar De La Hoya in the eighth round. A year later, he scored high-profile knockouts of Ricky Hatton and Miguel Cotto.

http://bleacherreport.com/articles/1...irs-18-million

[fred]

Perhaps not!

Manny Pacquiao Reportedly Owes IRS $18 Million

Manny Pacquiao's next fight may be with the United States government, as reports have surfaced that the Filipino boxer owes the IRS more than $18 million in back federal income taxes.

According to official documents obtained by TMZ, Pacquiao failed to pay income tax on his earnings from 2006 to 2010, with his official debt totaling $18,313,668.79. The 34-year-old welterweight, who turns 35 on Dec. 17, spent much of his rise to prominence fighting overseas but began gravitating toward large United States-based spectacles as his international fame rose.

Pacquiao fought 12 times from 2006 to 2010, all but one of which were in the United States. Three of those bouts took place in Texas, which does not have a state income tax, but he would still be subject to federal income tax.

TMZ had the year-by-year breakdown on the individual totals Pacquiao owes the IRS:

2006: $1,160,324.30
2007: $2,035,992.50
2008: $2,862,437.11
2009: $8,022,915.87
2010: $4,231,999.01

The increases in amount owed seem to coincide with Pacquiao's rise to arguably the most popular boxer in the world. In 2008, he defeated Juan Manuel Marquez, knocked out David Diaz and stopped Oscar De La Hoya in the eighth round. A year later, he scored high-profile knockouts of Ricky Hatton and Miguel Cotto.

http://bleacherreport.com/articles/1...irs-18-million

[grahamw48]

Somebody does seem to have been a tad 'careless'.