Senate may summon BOC over unpaid taxes on luxury cars

MANILA, Philippines – Senators are mulling a probe into the failure of the Bureau of Customs (BOC) to collect hundreds of millions of pesos in duties from the importation of luxury vehicles into the country. 

Blue Ribbon committee chairman Richard Gordon said the Senate would look into reports of sales of high-end motorcycles and sedans – of brands like Ducati and Mercedes-Benz – in the country, without supporting documents.

Unsuspecting buyers are reportedly having a hard time obtaining full ownership papers due to unpaid customs duties, and even total absence of import documents for the vehicles.

“I think the BOC should do some explaining and if we are to obtain more documents and information, this could warrant a full-scale investigation by the Blue Ribbon committee, for possible smuggling,” Gordon said. 

“If there are victims or anyone who knows more about these shenanigans should immediately contact the Blue Ribbon committee so that we could pinpoint accountability,” he added. 

The senator said it was relatively easy to find out possible tax evasion and smuggling of the luxury sedans and high-end motorbikes by checking documents from the source of the vehicles abroad and the BOC. 

Sen. Juan Edgardo Angara, chairman of the committee on ways and means, said he is willing to conduct an inquiry on the matter as long as the panel obtains sufficient information or details to pursue a probe. 

Reports have it that the BOC earlier asked an importer to explain discrepancies in its tax declaration of imported luxury cars amounting to over P230 million in 2015.