President Duterte blasts Dunkin Donuts anew on Tax Evasion Case

President Duterte blasts Dunkin Donuts anew on Tax Evasion Case

photo from Duterte News Portal

President Rodrigo Duterte will have the Prieto and Rufino Families make a run for their money as he orders a crackdown on the tax evasion charges filed against officials of Golden Donuts Inc. (GDI), the Philippine franchise holder for Dunkin Donuts, over its failure to pay more than P1 Billion in income and value – added taxes generated in 2007.

“One of these days — hindi ko hayaan ‘yan. Not because I’m vindictive. No, it’s not that. Matter of… Kailangan ko talaga habulin ‘yan. Magbayad kayo. Hindi man pwede basta-basta na lang na tayo magkamali lang — ‘yan ang ayaw ko.” – President Duterte said in a speech in Iloilo City.

The Bureau of Internal Revenue (BIR) have formally filed the complaint against GDI on February 23, 2018 and although the latter denied the allegation saying the company has already settled its liabilities since 2012, BIR however, asserted that investigation showed that invoices provided by the suppliers “were intentionally altered in a desperate attempt to conform to substantiation requirements.”

The President also claimed that the Prietos, who operates one of the country’s first private newspapers known as The Inquirer, utilized their media business advantage as financial leverage and familiarity to go about its fraudulent moves discreetly for a long time.

“Yung doughnut owes government four billion, walang bayad, bayad ‘yan. Inquirer eh. Prieto eh. Kaya may leverage siya. Kaya sabi ko nga, kaya ako galit, mga p***** i** kayo, when you criticize us is it talagang galing — we are from outer space, mga demonyo. ‘Yung editorial ninyo,” an angry Duterte said.

“Sabi ko, kayong mga mayaman, kayo ‘yung mga number one nasa graft and corruption. Doughnut, ‘yung doughnut na pagkain, you owe government four billion. Panahon ni Bureau of Internal Revenue Commissioner Kim Henares, ang binayad ninyo eight million lang,” he added.

The Makati Regional Trial Court in August 2017, demanded Sunvar Realty, owned by both Prieto and Rufino families, along with other tenants, to leave the Mile Long Commercial Strip in Makati, which they occupied since February 1982 on a lease agreement that expired in 2002. The firm was also ordered to pay P478,200,600 worth of back rentals to the government.

Sunvar argued that it paid an ‘advance rental’ of P16.8 Million in property development with the understanding that the lease would last until 2027.

In a statement, the firm said, “It (Sunvar) has pursued legal remedies to resist ejectment firmly believing there is a binding contractual commitment on the part of the government to honor a lease that is set to expire only in 2027. Sunvar understands that the government has taken the opposite view.”