The Bureau of Internal Revenue (BIR) has filed a P22.71-billion tax evasion complaint before the Department of Justice (DOJ) against Sunwest Inc., formerly Sunwest Construction and Development Corp., over alleged unpaid deficiency income taxes from 2019 to 2024.

Also named in the complaint were Sunwest chair and president Aderma Angelie Alcazar and treasurer Cesar Buenaventura, whom the BIR identified as corporate officers responsible for the company's tax compliance during the period under investigation.

The company was previously owned by former Ako Bicol party-list Rep. Zaldy Co.

According to the BIR, Sunwest allegedly evaded taxes by underdeclaring taxable income, claiming fictitious purchases and unsupported operating expenses, and improperly claiming creditable withholding tax credits in its income tax returns.

The bureau said the alleged irregularities resulted in substantial revenue losses for the government.

The complaint stemmed from a preliminary audit by the BIR's National Investigation Division, which compared the company's declared income with payment records from government agencies, including the Department of Public Works and Highways, National Power Corp., and the Philippine Ports Authority.

After detecting significant discrepancies, the BIR issued a Letter of Authority for a full audit of the company's financial records.

Tax investigators also served Sunwest with a subpoena on 5 February, directing the company to produce its accounting books, ledgers, and supporting documents.

The BIR said Sunwest failed to fully comply, prompting investigators to apply the "best evidence obtainable" rule, which allows tax authorities to determine tax liabilities using available third-party records when taxpayers fail to submit required documents.

Based on its audit, the BIR alleged that Sunwest failed to report about P6.29 billion in taxable income from 2019 to 2024.

The bureau also disallowed about P36.63 billion in claimed purchases, P3.65 billion in operating expenses, and P291.12 million in claimed creditable withholding tax credits after the company allegedly failed to provide sufficient documentary support.

The adjustments resulted in a total deficiency income tax assessment of P22.71 billion, inclusive of surcharges, interest, and compromise penalties.