MANILA, PHILIPPINES — The Bureau of Internal Revenue (BIR) has halted the implementation of a closure order against Megaworld Corp. after company officials promised the taxman of “full cooperation.”
The closure order, which was supposed to go into effect on Wednesday, March 18, was “held in abeyance,” according to a media advisory issued by BIR National Capital Region Director Eduardo Pagulayan Jr. on Tuesday.
“The activity tomorrow (May 18, 2022) is being held in abeyance until further notice. Representatives from Megaworld Corporation manifested their full cooperation with all the requirements of the Bureau of Internal Revenue,” BIR said.
The remark came after the tax agency caused a stir earlier when it said in an advisory that Megaworld will be closed on May 18.
Shares at billionaire Andrew Tan’s listed property firm fell by more than 9% before recovering to close up 2.94%.
Megaworld’s compliance and corporate information officer, Francisco Canuto, stated in a statement that the company has already reached out to the concerned BIR Regional Office, and the problem has been addressed and clarified.
He added that Megaworld will continue to help the government’s revenue program.
Despite the reinstatement of restrictions that had eased by the end of the first quarter, Megaworld recorded a 30 percent increase in earnings from January to March, as revenues reached P13.1 billion, boosted by double-digit growth in most of its segments.
Sales of its real estate segment increased 36 percent to P8.1 billion in the first quarter compared to the performance last year, while reservation sales increased to P23.2 billion.
According to Megaworld’s corporate profile on the Philippine Stock Exchange, the company has been active in real estate development, leasing, and marketing since its foundation in 1989. – WhatALife!