The Bureau of Internal Revenue (BIR) has taken initial steps to examine financial and tax records involving Vice President Sara Duterte and her husband, Atty. Manases Carpio, according to House trial spokesperson and Lanao del Sur Rep. Zia Alonto Adiong.
Speaking at a briefing on October 29 regarding potential tax violations beyond the scope of the impeachment case, Alonto Adiong cited the issuance of the BIR’s Letters of Authority (LOA), which grant permission to audit taxpayer files.
“I think the BIR has already taken the initial step,” the Lanao del Sur 1st District representative said.
He noted previous testimony from a BIR witness confirming authorization to inspect the couple’s tax submissions along with documentation tied to their corporate interests.
“There’s already the letter of authority to review of the records, corporate records, individual records, tax returns that have been submitted by both Vice President Sara Duterte and Atty. Mans Carpio,” Alonto Adiong said.
The presentation highlighted potential tax concerns alongside allegations of unexplained wealth, citing notable discrepancies between reported income and actual bank account inflows to question whether full financial declarations were made.
The House prosecutor also detailed comparisons between financial statements and bank records for Metro City Chow Foods Corp., GenCorp Industries Inc., and Cale88 Foods Corp., emphasizing that corporate transactions must be distinguished from funds personally received by either spouse.
“So that’s already an indication that there is possibly a separate review on the possible tax evasion committed by way of not declaring completely the income of these corporations to the BIR,” Alonto Adiong also said.
The prosecution’s figures indicated average annual underdeclarations of 69 percent for Metro City Chow, 51 percent for Cale88, and 87 percent for GenCorp from 2023 to 2025.
Citing Section 248(B) of the Tax Code, Alonto Adiong explained that substantial underdeclarations exceeding 30 percent create initial evidence of false or fraudulent tax returns.
These comparative calculations do not constitute final BIR determinations of taxable debt, and no formal tax evasion charges or final tax assessments were announced at the briefing.
Alonto Adiong added that other government bodies should carry out their respective reviews while the House panel remains focused on presenting evidence for the Vice President’s removal from office.
“So kung meron po separate venue investigation or review by any separate agencies, I think they should pursue that,” he said.
The prosecution team continues to focus on Article II of the impeachment complaint, covering alleged unexplained wealth, non-disclosure of assets, and prohibited business activities.
The presentation of evidence by the defense team is set to start on November 9.
“But in relation to the impeachment trial, we are focused on the evidence that we have presented,” Alonto Adiong also said.