Four hotels and two restaurants in Boracay were immediately shut by the Bureau of Internal Revenue (BIR) over tax charges.
In a statement, the BIR said that it “suspended operations” of the six establishments because some are not able to register as a value-added tax (VAT) taxpayer, and for “failure to pay and file VAT returns and failure to issue authorized receipts.”
The bureau said that the hotels were also under temporary closure because of their “underdeclaration of taxable sales by more than 30 percent.”
“The closures were effected after the subject taxpayers failed to comply with the requirements specified in the 48-hour notice and the five-day VAT compliance notice,” the BIR said.
The four hotels subjected under temporary closure include: Boracay Peninsula Resort, Boracay Soccoro Beach Resort, Las Bresas de Boracay, and Boracay Isle Hotel, all of which are owned and operated by Trinidad Development Inc. and its general manager Cyrian Gonzales.
The two restaurants closed down were the Hongkong Seafood Restaurant and Gelai or Fujian Restaurant owned by Weng Wen Min and Arnie Pitogo, respectively.
The BIR said that the establishments in Boracay were under surveillance as it noticed that they were not complying to the National Internal Revenue Code.
The closure of the establishments was made in pursuance of BIR’s program Oplan Kandado.