SC spares Pacquiao, wife from P3-B cash bond

BAGUIO City, Philippines – Boxing champion Manny Pacquiao and his wife Jinkee do not have to deposit a cash bond of P3,298,514,894.35 or a surety bond worth P4,947,772,341.53 to the Court of Tax Appeals (CTA) to resolve their petition to lift the warrant of levy and garnishment against them in connection with their P2.2-billion tax evasion case, the Supreme Court ruled yesterday.

The SC remanded the case to the CTA for dispensation or lowering of the bond amount.

The SC said the CTA could only decide to either dispense with the cash bond or lower the amount it earlier set based on guidelines under its rules.

“After the posting of the required bond, or if the Court of Tax Appeals First Division determined that no bond is necessary, it shall proceed to hear and resolve  the petition for review pending before it,” the ruling said.

The SC found no sufficient basis to determine whether the dispensation of the required cash deposit or bond is appropriate since the CTA has not made a preliminary determination on the petition filed by the couple against the Bureau of Internal Revenue (BIR).

It suggested that the CTA consider an earlier administrative ruling that the amount of bond should exclude penalties, interests and surcharges and also the P32 million already paid by the Pacquiao couple.

“The Court also found that in the event the CTA should find that the petitioners should provide the necessary security, a recomputation of the amount thereof is in order,” read the ruling.

The SC had already issued a temporary restraining order against the CTA order. The latest order makes the TRO permanent.

In their petition, the Pacquiaos also asked the SC to stop the BIR from implementing its warrant of levy and garnishment order against their assets to cover for their allegedtax liabilities for 2008 and 2009.

Petitioners accused the BIR of resorting to a fishing expedition and of violating their right to due process.

The BIR proceeded with the tax collection process even without serving a Final Decision on Disputed Assessment against them, they added.

In 2013, Pacquiao filed a petition with the CTA to lift the warrant of levy and garnishment, as well as the collection of taxes by the BIR.

The CTA ordered the Pacquiaos to deposit a cash or surety bond for the court to resolve the petition.

Farmers and athletes

Meanwhile, in General Santos City, Pacquiao has vowed to support farmers and athletes if elected senator.

The Sarangani lawmaker laid down his priorities as senator before thousands gathered during the proclamation rally of the opposition United Nationalist Alliance and its allies in the city on Tuesday night.

“All farmers should receive incentives from the government, especially during the dry season,” he said in the local language.

Pacquiao said many farmlands, particularly in Mindanao, are not being utilized, resulting in the Philippines having to import rice from neighboring countries.

He did not elaborate on the specific forms of legislation that he intends to file.

Pacquiao also said that he would prioritize sports development in the country. – Edu Punay, Janvic Mateo