PacMan, What Went Wrong? P3,000,000,000 Deficiency Tax Assessment

PacMan, What Went Wrong? #MannyPacquiaoversusKim
#EmelinoTMaestro's Point of View and Belief

#Katax felt so bad when he learned that #PacMan had decided to elevate his 3B deficiency tax assessment to the Court of Tax Appeals. In #ETM point of view, this action is similar to a last will and testament manifestation.

Being so furious and frustrated, #MannyPacquiao found comfort and protection from the arms of a counsel who advised him (and he adopted the suggestion) to go to#CTA in order to seek the lifting of the#Warrant_of_Garnishment that the BIR issued to him. By this gesture, the #PacquiaoFamily and#ViceGovernorJinky knock themselves out. Letwww.Facebook.com/Kataxpayer explain this statement.

Knock-out #1
To get a lawyer to handle a deficiency tax assessment amounting to 3 Billion Pesos would cost at least P5,000,000. Nothwithstanding, the Appearance Fee of at least P10,000 per day and Manifestation Fee of at least P20,000 per position paper would be collected by the very lucky lawyer. Too big an amount when you compared it to the P1,000,000 that the BIR garnished.

Knock-out #2
To elevate a deficiency tax assessment of P3,000,000,000, the CTA would require PacMan to pay 1/2 of 1% of the said amount or P15,000,000. Too big an amount when you compared it to the P1,000,000 that the BIR garnished. Notwithstanding that Pacman created another nemesis in the names of CTA and Office of the Solicitor General (as BIR's rightful counsel)

Knock-out #3
The CTA found merit to the concerns of PacMan. But, it required him to place a bond in lieu of lifting the BIR's Warrant of Garnishment. Failure to do so, the Warrant shall remain valid and enforceable. Cost of the bond shall be twice the P3,000,000,000 deficiency tax assessment. Thus, if the premium rate is 1% of the said amount, the insurance premium to be paid is P60,000,000. Too big an amount when you compared it to the P1,000,000 that the BIR garnished.

Knock-out #4
Of course, no insurance company would expose itself to a probable liability of P3,000,000,000 without requiring PacMan to present 'collaterals' that are commensurate to the said liability. Thus, PacMan may have his family's cash and properties to be placed as collaterals. Too big an amount when you compared it to the P1,000,000 that the BIR garnished.

To summarise,
Lawyer's fee .............................................. P5,000,000
Judicial fee .................................................15,000,000
Surety Bond's premium ..............................60,000,000

Additional burden created thru CTA .......... 80,000,000
Less, BIR-garnished amount ....................... 1,000,000

Unwanted(Cash that can be saved)expense..79,000,000

Internal Revenue Commissioner Kim Henares said the BIR sees the CTA ruling as a victory as it guarantees protection of government interest. #KataxETM says, 'Amen.'

Next topic. 'How PacMan can save his Fortune?'

Lesson of the story.
1. As much as possible don't elevate your deficiency tax assessment to the CTA, it would create more problems.
2. Learn the secrets of the BIR because therefrom, you may legally reduce your deficiency tax assessments.
3. Use the Tax Accounting because the BIR doesn't use and understand the Financial/Managerial Accounting.

FREE TAX ACCOUNTING SEMINAR-WORKSHOP
"Correct Tax Accountancy, the Key Against Tax Deficiency."

"OPTIONAL STANDARD DEDUCTION (#OSD)"#TAXACCOUNTINGCOURSE FOR #VAT AND #NON_VATINDIVIDUAL TAXPAYERS AND SMEs,
Sofitel Hotel, June 18-19, 2014 (2-5p, 9-12a, 2-5p)

Attend those who
1. failed and flunked the CPA Board Exams
2. are offering a bookkeeping service
3. are not satisfied with their CPAs' services
4. have tax problems and BIR investigations
5. are being BIR-oppressed and -harassed
6. are being pushed to bribe a BIR officer
7. want to increase to pursue a 'Entrepreneur' dream
8. don't want to be ignorant of the tax rules

Must do. ...... ........
1. Share this message to at least 50 of your contacts
2. Bring 48 copies of 2551M, 32 copies of 2550M, 12 copies of 2550Q, 12 copies of 1701Q, 8 copies of 1701, general journal, general ledger and 10-column book
3. Bring a least two (2) friends

To semi-qualif y
a. Enroll your NAME, EMAIL & MOBILE via the "Comment".
b. Only 100 taxpayers shall be accommodated.
c. This Offer is valid until June 11, 2014 5pm.
d. A Sofitel-snack shall be served.
e. A Certificate of Attendance shall be provided

Requirements: (Books)
P2,500 - "Tax Accounting Code Shall Prevail."
P1,500 - "BIR Form for Tax Accounting Course"

Katax's contact details
Kataxpayer.Juliet@gmail.com
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katax.erick@gmail.com
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katax.juliet@gmail.com
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