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Royale Business Club faces tax evasion charges

usana philippines declared 3rd top taxpayer 2013
Government and the people want honest business. Inside and out all transaction must be fair and accordance to the law. We can say that other companies are also trying to evade tax just to keep stronghold of the business. The source of this article was published on Mar 12, 2015 –  Rappler.com.

MANILA, Philippines – Royale Business Club International Incorporated, a Quezon City-based multi-level marketing (MLM) organization, has been slapped with tax evasion charges by the Bureau of Internal Revenue (BIR) worth P359.75 million ($8.13 million).

Royale is a domestic corporation that markets and distributes food supplements, cosmetics, pharmaceutical products, and beverages

The BIR said the company underdeclared its annual income tax returns (ITR) and quarterly value added tax (VAT) from 2011 to 2013, as defined under sections 254 and 255 of the National Internal Revenue Code of 1997 as amended (tax code).

Also charged for the same violations were its officers: Royale president Julius Allan Nolasco; vice president for finance/treasurer Isa Angela C. Bautista; assistant treasurer Jeanette Maghirang; assistant treasurer Imelda Pedron; and assistant accounting manager Marjorie Molina.

Based on access letters released by the Bank of the Philippine Islands (BPI), Metrobank, and Banco de Oro (BDO), BPI certified that it paid Royal P141.60 million ($3.20 million); Metrobank, P468.55 million ($10.60 million); and BDO P171.07 million ($3.87 million).

In sum, Royale received income payments from the said banks amounting to P190.79 million ($4.31 million) in 2011; P236.38 million ($5.35 million) in 2012; and P354.06 million (8.01 million) in 2013.

But Royale declared in its ITR gross sales amounting to only P39.14 million ($884,374.12) in 2011; P106.69 million ($2.41 million) in 2012; and P196.68 million ($4.44 million) in 2013.

In effect, Royal substantially underdeclared its correct taxable sales by 387% or P151.64 million ($3.43 million) in 2011; 122% or P129.69 million ($2.93 million) in 2012; and by 80% or P157.38 million ($3.56 million) in 2013.

Thus the aggregate deficiency tax liability, inclusive of surcharges and interests of P359.75 million ($8.13 million) for 2011, 2012, and 2013.

The case against Royale, together with its responsible corporate officers and employees, is the 340th filed under the Run After Tax Evaders (RATE) program of the BIR under Commissioner Kim S. Jacinto-Henares. It is likewise a RATE case of the National Investigation Division.

Royale practices direct-selling strategy in which the sales force is compensated for the sales people they recruit on top of generating sales.

While exactly not illegal as most MLM firms are registered with the Securities and Exchange Commission and the Direct Selling Association of the Philippines, some of them though have been found to be engaged in pyramiding scheme. Pyramiding scheme does not involve an actual product to sell, but rather subsisting on a business model that requires enrolling people in the scheme. –

Rappler.com

US$1 = P44.20

 

In other way most MLM Business are in the top-10 taxpayer. USANA Philippines declared third top taxpayer in Makati east district last May of 2013.

 

Royalè Business Club International, Inc.

Royalè is a 100% Filipino-owned corporation established in 2006. From its headquarters in Quezon City, Philippines, the company is continually changing the landscape as we know it – from its expansion of branches throughout key cities in the country to international hotspots in the cities of Dubai, Taipei, Singapore, Doha & Abu Dhabi.

With pillars of industry leaders backed by years of experience and expertise in Finance and Marketing, the company stands tall as a major player in the industry, offering its wide spectrum of FDA-approved health, wellness and beauty products.

Royalè as a Brand is synonymous with innovation and modern. From the packaging to the over-all impeccable quality and service, Royalè products are superlative in all aspects. Its success in the local and international markets is a glaring declaration of this feat.

The business model of Royalè is now the benchmark of Filipino-owned corporations who want to expand their operations worldwide. This pursuit requires more than hard work, but rather, it calls for continuous dedication to excellence and a pragmatic understanding of large-scale multi-national operations. More importantly, a management with keen business sense, acumen and diligence of the highest level is required.

Royalè engaged in Marketing of Food Supplements, powdered beverages, Beauty, Skin, & personal care products through a unique distribution method providing income opportunity to its distributors and sales force.

It was registered with the Securities and Exchange Commission with registration # CS200600131. It has Food & Drug Administration Registration as distributor of drugs with license # RDII-MM-DT-0771, distributor of foods with license # RDI-MM-FE/W-3786 and distributor of cosmetics with license # RDI-MM-CT-0402

MISSION

To create a group or club of professional, success driven independent distributors & develop them to be world – class entrepreneurs utilizing a dynamic, innovative & sustainable system of product distribution & marketing while adhering to the highest standards of integrity & excellence

VISION

To be a globally recognized brand & entity providing top quality products, services & business opportunities through a dynamic, innovative & sustainable system of product distribution & marketing while adhering to the highest standards of integrity & excellence

CORE VALUES : C. H. E. R. I. S. H.

Credibility : A company worth of trust; remaining true to its purpose of providing optimum opportunity to all.

Honesty: A company that observes and practices fairness and ethics.

Equality: A company that offers and upholds the rights and privileges of those under its sphere without discrimination and prejudice

Resiliency: Resiliency A company that adapts to the transitions and demands of the modern age, yet maintaining focus on defined corporate directions and goals.

Integrity: A company that is steadfast to its principles, morals and standards.

Sincerity: A company that advocates consistency, truthfulness and authenticity.

Humility: A company that accords due reverence and gratitude to the Lord Almighty; it does not destroy nor detest the reputation of fellow institutions.

Management Team

MR. RICARDO S. CASTAÑEDA
Founder & CEO
Chairman of the Board

MR. JULUIS ALLAN G. NOLASCO
President & COO
Director

MR. ERICK F. CASTAÑEDA
Vice President Operation and Head I.T. Dept.
EXECOM Member
Director

MS. JOSARAH LORENZO-NOLASCO
Vice President Business Devepment and Sales
EXECOM Member
Director

MS. ISAANGELA C. BAUTISTA
Vice President for Finance
EXECOM Member
Director

AMB. HENRIETA T. DE VILLA
Director

Address: Royalè Centre, 1363A Quezon Ave, Lungsod Quezon

Note: All information source from http://www.royalebusinessclub.com/ visit their website for more updates.