BIR files tax evasion complaints vs. illicit vape retailers, sellers

The Bureau of Internal Revenue (BIR) on Wednesday filed tax evasion complaints with the Department of Justice (DOJ) and its regional offices against 75 illicit vape retailers and sellers.

In an ambush interview, BIR Commissioner Romeo "Jun" Lumagui Jr. said this involves a tax liability amounting to P711.3 million.

The BIR said the complaints were for violations of the Tax Code, including Tax Evasion, Unlawful Possession or Removal of Articles Subject to Excise Tax Without Payment of the Tax, and Failure to File Excise Tax Returns.

"Smuggled, ano. Nakita natin dahil hindi rehistrado sa BIR, hindi rehistrado rin 'yan sa—, hindi approved ng DTI (Department of Trade and Industry) at hindi bayad ang excise tax. So walang mga stamps ang mga produktong binibenta nila," Lumagui said. 

(Smuggled goods. We saw that because they are not registered with the BIR, they are also not approved by the DTI and the excise tax is not paid. So the products they are selling have no stamps.)

Lumagui warned that these products may not have passed quality standards.

He also stressed that the tax the government should have collected could have gone to the country's healthcare system and infrastructure projects.

"Nakita natin na nationwide 'yung pagbenta nito at marami pa rin produkto na hindi rehistrado at hindi nagbabayad ng excise tax sa mga vape products. Kaya patuloy ang aming nagiging operasyon laban dito," he said.

(We found that the selling of this is nationwide and that there are still many products that are not registered and not paying excise tax on vape products. That is why our operations against this continues.)

According to the commissioner, registered products have BIR stamps. 

"Kapag wala kayong nakita na stamp, 'yung tamaraw na stamp na nakakabit diyan, ay siguradong illegal ito at 'wag nating tatangkilikin ito," he said.

(If you don't see the tamaraw stamp on the product, then it is surely illegal and consumers should not patronize it.)

The BIR said the filing stemmed from a series of raids and inspections that uncovered the selling of untaxed vape. — VDV, GMA Integrated News