AS Benjamin Franklin once said, there are only two things certain in life: death and taxes.
And no one, not even the great Manny Pacquiao, can escape these certainties.
The gleam of Pacman’s victory over Brandon Rios quickly lost its sheen, after the Bureau of Internal Revenue (BIR) issued a freeze order on two of his bank accounts (containing a total of P1.1 million, according to BIR chief Kim Henares), “which stemmed from from the P2.2 billion tax evasion case filed by the tax bureau against Pacquiao in 2008 and 2009,” reports Rappler.com.
According to Pacquiao, he has already paid his taxes on his earnings from the US. There exists a treaty between the United States and the Philippines, which allows citizens to avoid “double taxation.”
Lawmakers from the Senate and House of Representatives were divided on the issue.
Some opined that it was an “ill-time” to do such a thing to the Pambansang Kamao, given that he has just “lifted the spirits” of his countrymen after the devastation brought by Typhoon Haiyan (Yolanda) and as a congressman himself, has expressed willingness to help the victims upon his arrival from the fight.
Northern Samar Representative Emil Ong has even gone as far as urging his colleagues in the House to pass a resolution “condemning the action of BIR Commissioner Kim Henares, ‘for picking such an ill time for trying to collect taxes.”
Sen. JV Ejercito, a friend of Pacquiao, said that Henares was politically harassing the Sarangani congressman, while Sen. Tito Sotto decried the BIR’s move, likening it to “dousing cold water on Pacquiao’s victory.”
However, there were also those who view the situation objectively.
House Minority Leader Ronaldo Zamora advised Pacquiao to hire a good accountant and a good lawyer, in order to figure out if the root cause of his tax woes is his failure to submit the proper documents.
In the public’s eye, the BIR could not have picked a worse time to freeze Pacquiao’s bank accounts.
However, in a report from Interaksyon.com, Henares clarified that the BIR’s uncollected tax from Pacquiao has been ongoing for more than two years. The BIR has been waiting for Pacquiao “to question the assessment made by the agency and submit the documents from the IRS.”
Henares also said that the P2.2 billion uncollected tax was based on his earnings from 2008 and 2009 (from his boxing matches, his total income and the proceeds he received from Pay-Per-View.)
Pacquiao failed to present certified copies of his income tax return from the US Internal Revenue Service (IRS), submitting instead a copy of Top Rank’s letter, whiich states that the boxing promotions company paid taxes to the IRS on Pacquiao’s behalf.
Henares said that the letter cannot be considered as an official tax document, since “anybody can write or fabricate that he had paid for the tax of an individual.”
Dalawang taon kaming naghintay, hindi s’ya makapagpakita ng mga dokumento na ‘yan kaya in-assess namin s’yaMay time s’ya na magprotest pero hindi s’ya nakapagprotest so naging final ho ‘yong assessment,” Henares said in a phone interview with ABS-CBN.
“Because final na ‘yong assessment, eh di ibig sabihin tapos na ‘yong usapin kaya dapat bayaran n’ya na ho ang BIR. Eh hindi pa ho n’ya ginagawa. The next step is talagang mag-iissue kami ng warrant…” Henares further added.
“A warrant of garnishment is a notice used for legally seizing a debtor or defendant’s money or property. Under the National Internal Revenue Code, the BIR has the power to seek remedies through garnishment of personal property and bank accounts of delinquent taxpayers,” Interaksyon.com reported.
Henares also clarified that the BIR issued the warrant of garnishment long before Pacquiao went to the Court of Tax Appeals (CTA) in August, to file a civil case with the court to challenge the P2.2 billion tax assessment given by the BIR.
In fact, the BIR was even lenient to the boxing champ, since they would stop pursuing the case every time he had a fight so as not to be blamed in case he loses.
“Everytime na lalaban s’ya, humihinto kami kasi ayaw namin na baka kami ang sisihin pag natalo s’ya. So kaya tumagal nang tumagal ho ‘yan.” Henares said.
President Benigno S. Aquino III has appealed to the pugilist not to engage in “a media war” with the BIR since it will be the CTA who would decide on the case, according to a separate report from Interaksyon.com.
Earlier,  Pres. Aquino also advised the Sarangani congressman to be “a role model by being a law-abiding citizen.”
Vexed by the president’s advice, Pacquiao challenged the Aquino administration to go after all tax evaders and insisted that the BIR coordinate with the IRS in acquiring a copy of his income tax return.
Hindi p’wedeng individual maki-pag-ano doon sa IRS, government to government,” he said.
While it seems that Pacquiao is gaining public sympathy right now (especially from social media), waging a media war against the BIR will not solve his tax woes.
In fact, publicizing the issue with the media will only worsen the situation and further unfold information that’s  best kept between Pacquiao and the internal revenue bureau.
At the end of the day, dealing with your taxes is still an individual and civil responsibility – a duty that is magnified for Pacquiao, being both a public figure and an elected public official.
His  kababayans not only look up to him as a hero and a source of national pride, but also as an elected lawmaker, who is not only expected to devise laws, but to follow them foremost, in order to set a good example to his fellowmen.
And while most would point to political harassment, it cannot be denied that Kim Henares was only doing her job.
What John Adams said still applies: “We are a government of laws, not of men.”
Ignorantia juries neminem excusat – ignorance of the law excuses no one, not even a public hero.
(AJPress)

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