Davao City:A compensation payment recorded in Vice President Sara Duterte's 2023 tax documents has raised questions during an impeachment trial. Senator Erwin Tulfo scrutinized whether the income, recorded for services to the Davao City government, should have been reflected earlier if it pertained to services rendered in 2022.
According to Philippines News Agency, Tulfo inquired of Bureau of Internal Revenue (BIR) chief of staff Anne Loraine Garcia-Marquez if such compensation should have been noted as an account receivable if the amount was known in advance. Marquez indicated that while a known receivable could be reflected, audited financial statements typically cover business-related items.
The debate centers on whether the income belongs solely to 2023 or to the previous year when Duterte completed her term as Davao City mayor on June 30, 2022, before becoming vice president. Despite this, BIR records show Duterte receiving PHP82,327.45 from the Davao City government in 2023, as documented in Form 2316.
Form 2316, a certificate indicating compensation and tax withheld, is signed by both employer and employee, signifying acknowledgment of the payment. While Tulfo raised the issue of timing, he did not establish a legal requirement for earlier recording.
Marquez emphasized that the BIR's audit is ongoing, and any potential tax issues will only be clarified upon completion. The BIR is also auditing the income tax returns of Duterte and her husband, Manases Carpio.
