SENATE Minority Leader Frank Drilon urged the Bureau of Internal Revenue (BIR) to verify possible non-payment of fair taxes by the Pharmally Pharmaceutical Corporation and other suppliers of pandemic-related products ordered by the purchasing department of the Ministry of Budget and Management (PS -DBM).
The senator suggested that it might be better for the BIR to create a task force that will examine whether providers of billions of pesos of Covid-19 face masks, shields and test kits have paid the correct taxes.
If it is shown that the right taxes were not paid, it would be another case against, for example, small-cap start-up Pharmally which was previously linked to alleged irregularities such as excessive pricing and delivery. substandard supplies.
Drilon made the disclosure after tax records for the supplier company and its officials were discovered and turned over by the BIR to the Senate, and Drilon made them public at 13e hearing by the Blue Ribbon Committee chaired by Senator Richard Gordon.
Drilon noted that based on tax documents submitted to the BIR in 2020 when Pharmally ‘cornered’ more than 10.40 billion pesos in several contracts, Pharmally even claimed tax credits amounting to over 96 million. of pesos and claimed overpayment of tax owed in excess of 589,163 pesos.
In addition, the senator pointed out that the officials of Pharmally Twinkle and Mohit Dargani – brothers and sisters respectively president and general secretary – were able to buy luxury cars after obtaining the contracts of PS DBM. This, even though their tax records showed the payment of minimal taxes.
Apart from them, the senator suggested that authorities also investigate Element Trade Limited which was “donated by PS-DBM P6.99 billion” in contracts for pandemic supplies; a 5.22 billion peso contract with the Sunwest Construction and Development Corporation; and Xuzhou Construction Machinery Group which obtained 2.23 billion pesos in contracts, while admitting that no taxes were paid; and the Hafid N ‘Erasmus Corporation which pocketed contracts worth 1.91 billion pesos.