BIR, NBI seize 480 master cases of cigarettes without tax stamps in N. Ecija

The Bureau of Internal Revenue (BIR) and the National Bureau of Investigation (NBI) seized 480 master cases of illicitly traded cigarettes during a joint operation in Cabanatuan City, Nueva Ecija on Thursday, the Department of Finance (DOF) said Friday.

"The warehouse raid resulted in the closure of the premises under Section 172 of the Tax Code because there were initially 480 master cases of various cigarette products without tax stamps," the DOF said, citing a report by the BIR.

Collette’s PX Store and its warehouse were raided following information that the said establishment has been selling cigarettes — with the brands “Two Moon,” “RGD,” “Black Bat,” “Twin Star,” among others — not affixed with BIR tax stamps.

The BIR is still estimating the total value of the seized products and gathering additional details, the DOF said.

Under Section 172 of the Tax Code, the BIR may detain products when it has good reason to believe that the proper excise taxes were not paid.

To recall, local cigarette maker Mighty Corp. had faced complaints involving tax liabilities of over P27 billion for the alleged possession and use of fake internal revenue stamps following joint operations by the BIR and Bureau of Customs (BOC).

The charges prompted Mighty to settle its tax liabilities, which is estimated to earn for the government over P30 billion in additional revenues. — MDM, GMA News