BIR slaps P1.41-B tax rap on firms using ‘ghost receipts’

In its relentless crackdown on tax fraud, the Bureau of Internal Revenue (BIR) on Thursday filed fresh criminal complaints against dozens of companies and individuals over the alleged use of “ghost receipts” to evade taxes amounting to a staggering ₱1.41 billion.

BIR Commissioner Romeo Lumagui Jr. personally led the filing of 23 tax evasion cases before the Department of Justice (DOJ), targeting 23 corporations, 56 corporate officers, and 17 certified public accountants (CPAs) believed to have orchestrated fraudulent transactions to dodge tax obligations.

“These individuals and entities used ghost receipts to make it appear they had legitimate business expenses, when in fact, no real transactions took place,” Lumagui said. “This is a clear attempt to manipulate their books and drastically reduce their tax liabilities.”

The charges include multiple counts of tax evasion, perjury, failure to supply correct and accurate information, and falsification of official documents. The accused come from a wide array of industries — construction, manufacturing, food, electronics, entertainment, marketing, and retail.

According to the BIR, the corporations involved allegedly made suspicious purchases from so-called “ghost companies” — entities that exist only on paper, with no employees, operations, or assets — solely to generate fake receipts.

“These receipts were used to pad expense reports and reduce tax dues. It’s a scam designed to cheat the government and the Filipino people,” the BIR explained in a statement.

Commissioner Lumagui vowed that the agency will not let up in its campaign to root out tax cheats.

“We are building more cases. We’ve already filed and won tax evasion cases against large firms like Ever Bilena and World Balance. The use of ghost receipts will end,” he declared.

The BIR has ramped up enforcement efforts in recent years as part of a broader initiative to boost revenue collections and instill discipline among taxpayers.