Mighty tax case closed

The Philippines’ government is expected to earn about P40 billion from a compromise deal over the tax liabilities of Mighty Corporation, according to a story in The Manila Bulletin quoting the Justice Secretary Vitaliano Aguirre II.

Aguirre said he did know the exact figure but that it was about P40 billion.

And because of the deal, the Bureau of Internal Revenue had withdrawn three tax evasion complaints it had filed with the Department of Justice against the tobacco company.

Under the Philippines’ National Internal Revenue Code and other tax laws, settling a tax case was allowed, and so the case was closed and the government richer by P40 billion, Aguirre said.

The settlement agreement over the tax liabilities was reached after Japan Tobacco Inc. (JT) acquired Mighty Corporation in September.