Pasay to check restos for tax compliance

A task force will be created by the Pasay City government to make sure all business establishments are complying with tax laws and local ordinances.

The task force will inspect all establishments throughout the city, including bars and restaurants.

This was announced by City Administrator Dennis Bernard Acorda after the Bureau of Internal Revenue (BIR) closed down three Chinese-owned restaurants in Makati and Pasay for alleged massive underdeclaration of income.

The restaurants were Spicy of Hunan located in Barangay Poblacion and its branches in Barangay San Antonio, Makati and at the PNB Financial Center along Macapagal Boulevard, Pasay City.

Acorda said they have to inspect other bars and restaurants to see if they are following Pasay’s Ordinance 1614, otherwise known as the City’s Revenue Code, and at the same time examine their books of accounts.

He warned restaurants to follow city ordinances and national laws to avert the closure of their businesses.

The BIR said the concerned restaurant underdeclared its sales by more than 30 percent and used an unregistered point-of-sales (point-of-sale) machine.

Both acts carry a penalty of closure or suspension of business for five days until the tax liabilities are settled as mandated under Section 115 of the Tax Code.