The Power Sector Assets and Liabilities Management Corp. and the Bureau of Internal Revenue said over the weekend they signed a mutually advantageous global settlement of all the pending tax issues between them, consistent with the whole-of-government approach promoted by President Rodrigo Duterte.
PSALM remitted P517,707,336.81 to the BIR on Dec. 29 to end long outstanding tax cases covering taxable years 2006 up to 2016 and the various disputed tax assessments for the taxable years 2017 and 2019. BIR amicably accepted the amount offered by PSALM.
“This global settlement of all the tax cases and disputed assessments marks a major accomplishment for PSALM as it resolves and ends many years of conflict between PSALM and the BIR. We fully recognize the advantage of following the whole-of-government approach to resolve pending issues with other government offices. We sincerely thank the BIR headed by Commissioner Caesar Dulay for being very fair to PSALM and for accepting our offer,” said PSALM president and chief executive Irene Besido-Garcia.
The government-to-government arrangement with the BIR ensures a clean slate for PSALM.