The IRS reported a Self-assessed payment to Noboa Banana Export

Yesterday, at noon, a group of lawyers from the Internal Revenue Service (IRS), gave Banana Noboa, Alvaro Noboa’s enterprice, a $ 85 million self- assessed payment. The payable amount, calculated by the tax administration, is 25% of a gloss (plus penalty and interests) for the 2005 fiscal year, according to IRS.
After this initial notification two more will be given. From the latest, the company will have 3 days to defend themselves, otherwise, in case of nonpayment, the embargo shall be done, IRS officials explained.

Fernando Alarcon, Banana Noboa legal director said that this is “administrative process is not enforceable, until that happens we can not afford it.” Alarcon said that the document issued will be analyzed by the IRS to determine what to do. Will it go through an embargo? What we are going to do is to act according to the law,” said Alarcon. One route could be exceptional measures, he added.

The lawyer explained that the transfer prices calculated by the IRS estimate only the value of the fruit when it is yellow, not green. Banana cost calculated by the IRS, does not include insurance and freight value, he said.

Today it is going to be presented a cassation because of a process that is in court. In addition a certificate review request by the company is pending.