MANILA – The Bureau of Internal Revenue (BIR) on Friday filed criminal complaints before the Department of Justice (DOJ) against Sunwest Inc., its president Aderma Angelie Descarga Alcazar, and treasurer Cesar Zacarias Buenaventura for alleged tax evasion involving an estimated P22.71 billion deficiency income tax liability.

In a statement, the BIR said its investigation found that the company allegedly willfully underdeclared its income, claimed unsupported purchases and expenses, and improperly claimed creditable withholding tax credits in its income tax returns.

The agency said the investigation stemmed from President Ferdinand Marcos Jr.’s directive to conduct an all-out probe into alleged irregularities involving flood control projects. The BIR’s National Investigation Division subsequently issued a Memorandum of Assignment authorizing a preliminary investigation of Sunwest Inc.

According to the BIR, investigators found substantial underdeclaration of income after comparing project payments reported by the Department of Public Works and Highways and the Isumbong Mo sa Pangulo platform with the amounts declared in the company’s income tax returns.

Based on the findings, the BIR issued a Letter of Authority to examine the company’s internal revenue tax liabilities covering taxable years 2019 to 2024.

On Feb. 5, 2026, the agency directed the company to produce its books of accounts, accounting records, and supporting documents.

The BIR said that after the respondents failed to fully comply, it applied the Best Evidence Obtainable Rule in determining the company’s tax liabilities.

The investigation, which included reconciling the company’s records with third-party information from the DPWH, National Power Corporation, and Philippine Ports Authority, allegedly uncovered undeclared income amounting to P6.29 billion from 2019 to 2024.

The BIR also disallowed P36.63 billion in purchases and P3.65 billion in expenses after the company allegedly failed to provide sufficient documentary support. In addition, the agency disallowed P291.12 million in unsupported creditable withholding tax claims.

“The BIR examined the tax compliance of the entities concerned. When our investigation establishes willful violations of the National Internal Revenue Code, we will not hesitate to file the appropriate criminal cases against the corporation and its responsible officers,” BIR Commissioner Charlito Mendoza said.PNA