The Department of Justice (DOJ) filed a P5.7-billion tax evasion case against five (5) Chinese nationals whose involvement was discovered during the joint task force operation conducted by the Bureau of Internal Revenue (BIR) and the Criminal Investigation and Detection Group (CIDG) against illicit cigarettes in six different locations in Valenzuela and Bulacan on 6-7 November 2024.
Acting on the complaint filed by the BIR on 7 February 2025, the Office of the City Prosecutor of Valenzuela City determined that 'reasonable certainty of conviction' was found from the evidence submitted by the BIR. The corresponding Information was then filed before the Court of Tax Appeals (CTA) on 13 March 2025 against the Chinese nationals for violation of Section 258 (Unlawful Pursuit of Business) in relation to Section 236 and for violation of Section 263 (Unlawful Possession of Articles subject to Excise Tax without Payment of the Tax) which are both punished under the National Internal Revenue Code of 1997, R.A. No. 8424, as amended by R.A. No. 11346 and R.A. No. 11467.
The overwhelming pieces of evidence submitted by the BIR show that the tax liability of the accused Chinese nationals amounted to P5,764,761,450 based on the 21,000 master cases of illicit cigarettes seized during the aforementioned operations.
By reason of this major accomplishment, Justice Secretary Jesus Crispin “Boying” C. Remulla lauded BIR and Commissioner Lumagui for their successful war against illicit cigarettes. The Justice Secretary highlighted that this case is a testament that crimes undermining our economy can be defeated as long as the responsible government agencies join their resources and intensify their efforts. He likewise encouraged the BIR and other law enforcement agencies to continue their fight on other notable financial crimes that severely affect the growth of our country and committed that the Department of Justice will always support their endeavors in accordance with law.
In light of this development, Warrants of Arrest against the 5 accused Chinese nationals are expected to be issued in the soonest possible time.
