The Bureau of Internal Revenue (BIR) has officially opened a probe into the financial affairs of Vice President Sara Duterte and her husband, Atty. Mans Carpio, alongside a network of nine business entities allegedly tied to the couple.
BIR Commissioner Charlito Mendoza confirmed that the bureau has issued Letters of Authority (LOAs), a formal legal mechanism that empowers revenue officers to scrutinize accounting books and financial statements. The move comes after the bureau determined that sufficient probable cause exists to justify a comprehensive audit.
The investigation covers a diverse range of industries, including legal services, food corporations, and security agencies. The entities listed in the audit are:
- Carpio Lawyers (formerly Carpio and Duterte Lawyers)
- Zelta Matiem Salon
- City Hall King Chow Foods Corporation
- Davao Bounty Times Foods Corporation
- Madayaw Fisheries
- Davao Emerging Taipans Corporation
- Amianan Shores
- Cale88 Foods Corporation
- Geometry Security and Investigation Agency
The BIR noted that the investigation was triggered by a combination of third-party data and official reports. Key evidence includes the Vice President’s Statements of Assets, Liabilities, and Net Worth (SALNs) provided by the Office of the Ombudsman and findings from the Anti-Money Laundering Council (AMLC) that were disclosed during House impeachment proceedings on April 22.
“A Letter of Authority is the legal instrument of the BIR to initiate formal tax audits of any taxpayer. It is not a conclusion of liability, but it is a necessary step in determining the correct taxes due,” BIR Commissioner Charlito Mendoza said.
Mendoza emphasized that the bureau is following standard operating procedures aimed at ensuring tax compliance and public accountability.
“Accountability begins with the consistent application of the law. Where there is a basis to investigate, the BIR will do so. And if evidence of tax violations exists, it is our duty to pursue the appropriate civil, administrative, or criminal remedies,” Mendoza added.
The bureau maintained that the investigation will be conducted with strict adherence to due process, ensuring that the legal rights of the Vice President and the involved business entities are upheld throughout the audit period.