BIR shuts down 'POGO Restaurants' in Southern Luzon

The Bureau of Internal Revenue on Tuesday padlocked seven establishments in Southern Luzon that cater mainly to Chinese employees of Philippine Offshore Gaming Operations (POGO) firms.

In an statement, the Department of Finance (DOF) said two establishments –Frame Rose Ranes Salisi (under trade name Young Restaurant) and Shinedeligo Corp. –were shut down for their failure to pay the proper value-added tax (VAT).

Meanwhile, five other establishments were suspended as their business operations were not registered with the government.

This includes Jazzy Sam Videoke and Grill, Janna-Hissa Catering Services, Bottleground, Bigsun Food Stop, and Society Eight Lifestyle Concept Store.

"The required 48-hour notice and five-day VAT Compliance Notice were duly served but remained unheeded. As such, closure orders were recommended for the approval of the Deputy Commissioner for Operations," the DOF said.

The crackdown is part of the government's Oplan Kandado Program, with Tuesday's operation led by BIR South NCR director Glen Deraldino and Las Pinas Revenue District Officer Rebe Detablan.

"The establishments are said to be allied services to POGO operations since they predominantly serve the Chinese nationals employed by the latter," said the DOF.

Last month, the DOF warned to shut down POGOs that refused to pay their tax liabilities.

Great Empire Gaming and Amusement Corp. (GECAC), the first "tax-dodging" POGO, was shut down by the BIR last week.

Two days after, however, the company offered to settle its P1.3-billion tax deficiency, prompting the BIR to cancel the closure order.

The government in July started to impose stricter measures to collect proper taxes from foreigners working in the Philippines, including POGO employees. —Jon Viktor Cabuenas/LBG, GMA News