Dismissed Mayor Alice Guo Faces Tax Evasion Complaint from BIR

Former Bamban Mayor Alice Guo faces a new challenge as the Bureau of Internal Revenue has filed a tax evasion complaint against her. The complaint, lodged with the Department of Justice on Wednesday, August 14, accuses Guo of failing to pay taxes amounting to P500,000.

BIR Commissioner Romeo “Jun” Lumagui explained that the charges stem from Guo’s transfer of shares in Baofu Land Development Inc., a corporation in which she previously held an interest.

“Ito ay may kinalaman doon sa Baofu na corporation dahil kasi nakikita natin na sinabi niya na binenta daw niya ang shares niya dito sa korporasyon na ito,” Lumagui was quoted an interview with GMANetwork after the filing.

The BIR’s investigation revealed that Guo allegedly did not pay the required capital gains tax and documentary stamp tax during the transaction. These taxes are mandatory under the National Internal Revenue Code when selling stocks of a private or close corporation and when transferring shares, respectively.

Alongside Guo, the complaint also names Jack Uy, the individual to whom Guo purportedly sold her shares, and Rachelle Joan Carreon, the Corporate Secretary of Baofu Land Development Inc. Lumagui emphasized that Carreon faces charges for her failure to ensure the taxes were paid before verifying the transfer under oath and filing the General Information Sheet with the Securities and Exchange Commission. “Mabigat din ang parusa laban sa corporate secretary na hindi tinignan na bayad ang buwis,” Lumagui warned.

The three are charged under Section 254 of the NIRC for attempting to evade or defeat tax and Section 255 for failing to file CGT and DST returns. Additionally, Carreon faces a separate complaint under Section 250 for failing to file certain required information.

This tax evasion case is not Guo’s first run-in with the law. She was recently dismissed from her mayoral position by the Office of the Ombudsman for grave misconduct, which included forfeiture of her retirement benefits and perpetual disqualification from public office. Moreover, Guo is also embroiled in a criminal complaint related to human trafficking due to her alleged connections with a raided Philippine offshore gaming operator (POGO) in her town. Despite a Senate arrest order, Guo has yet to be apprehended.

The BIR, meanwhile, is continuing its audit of Guo’s business operations, although Lumagui mentioned that they are still awaiting additional documents to complete the process.

Read related article: Alice Guo Dismissed Over Ties to Illegal POGO Operations