THE Bureau of Internal Revenue (BIR) has filed a ₱2.228-billion tax evasion complaint with the Department of Justice (DOJ) against offshore gaming operator Hongsheng Gaming Technology, Inc. for alleged underreported earnings and unpaid tax liabilities covering a three-year period.
According to the bureau, an investigation into the company’s operations from taxable years 2021 to 2023 revealed major discrepancies between Hongsheng’s declared revenues and official government records.
The BIR reported that the firm failed to accurately declare its income, underreported value-added tax (VAT) liabilities across multiple quarters, and failed to withhold and remit required final withholding taxes for its foreign employees.
Total unpaid tax liabilities—comprising deficiency income tax, VAT, and final withholding tax—amount to ₱2,227,759,311.21.
BIR Commissioner Charlito Martin R. Mendoza emphasized the agency’s commitment to holding non-compliant businesses accountable.
“Honest taxpayers deserve a level playing field. No business should be able to operate in the Philippines, earn income here, and evade the taxes required by law. The BIR will pursue these cases wherever the evidence leads us,” Mendoza said.
The formal complaint was filed under the BIR’s Run After Tax Evaders (RATE) Program, an enforcement campaign focused on curbing tax fraud and protecting government revenues.
