BIR files P22.71-B tax evasion case vs Sunwest, top execs

Building of the Bureau of Internal Revenue in Quezon City. INQUIRER file photo MANILA, Philippines – The Bureau of Internal Revenue (BIR) filed criminal complaints on July 24, 2026, before the Department of Justice (DOJ) against Sunwest, Inc., its president, Aderma Angelie Descarga Alcazar, and its treasurer, Cesar Zacarias Buenaventura, for tax evasion involving an estimated P22.71-billion deficiency income tax liability. The complaints are based on the BIR’s findings that the company willfully underdeclared its income, claimed unsubstantiated purchases and expenses, and improperly claimed creditable withholding tax (CWT) credits in its income tax returns (ITRs) for taxable years 2019 to 2024, resulting in substantial deficiency income tax liabilities. READ: BIR files tax evasion raps vs buyers of ‘ghost receipts’ worth P1.41B Article continues after this advertisement The bureau found sufficient basis to charge the corporation and its responsible corporate officers with violations of Sections 254 and 255 of the National Internal Revenue Code (NIRC) of 1997, as amended, under the Run After Tax Evaders (RATE) Program. Following President Ferdinand R. Marcos Jr.’s directive for an all-out investigation into alleged irregularities in flood-control projects, the National Investigation Division (NID) issued a Memorandum of Assignment authorizing a preliminary investigation of Sunwest, Inc. The investigation disclosed substantial underdeclaration of income after comparing project payments reported by the Department of Public Works and Highways (DPWH) and the Isumbong Mo sa Pangulo platform with the amounts declared in the company’s income tax returns. Based on these findings, the BIR issued a Letter of Authority (LOA) authorizing the examination of the company’s internal revenue tax liabilities for taxable years 2019 to 2024. “The BIR examined the tax compliance of the entities concerned. When our investigation establishes willful violations of the National Internal Revenue Code, we will not hesitate to file the appropriate criminal cases against the corporation and its responsible officers,” Commissioner Charlito Martin R. Mendoza said. On Feb. 5, 2026, the BIR issued a subpoena duces tecum directing the company to produce its books of accounts, accounting records, and supporting documents. When the respondent failed to fully comply, the bureau applied the Best Evidence Obtainable Rule in determining its tax liabilities. Reconciliation of the company’s records with third-party information from the DPWH, National Power Corporation (NPC), and Philippine Ports Authority (PPA) disclosed undeclared income totaling P6.29 billion for taxable years 2019 to 2024. Article continues after this advertisement The BIR disallowed P36.63 billion in purchases and P3.65 billion in expenses after the company failed to provide adequate documentary support for the amounts claimed. The bureau likewise disallowed P291.12 million in unsupported creditable withholding tax claims. Based on these findings, the BIR assessed Sunwest, Inc. a total deficiency income tax liability of P22.71 billion, inclusive of surcharge, interest, and compromise penalties, for taxable years 2019 to 2024. Under the Run After Tax Evaders (RATE) Program, the Sunwest case, together with other complaints filed by the revenue regions in July, forms part of the bureau’s continuing enforcement campaign against tax evasion and other violations of the National Internal Revenue Code. Your subscription could not be saved. Please try again. Your subscription has been successful.