The Bureau of Internal Revenue (BIR) reported that it surpassed its 2024 collection target set by the Development Budget Coordination Committee (DBCC), a significant achievement for the first time in 20 years.
In an exclusive interview with DZRH's Damdaming Bayan on Thursday, BIR Commissioner Atty. Romeo Lumagui Jr. stated that the DBCC set the agency's collection target at PHP2.848 trillion.
"As of now, nasa 2.86-T [tax collection] at dadagdag pa 'yan dahil nagre-reconcile pa kami ng mga figures so lalabas ‘yung final figure niyan unang linggo ng Pebrero kaya tataas pa ito. Siguradong nakuha natin ang DBCC target," Lumagui mentioned.
"Nagawa natin ‘yan dahil unang-una ‘yung pinaganda natin ‘yung serbisyo ng BIR. ‘Yung nauna nating ginawa na nationwide ISO Certification sa lahat ng mga opisina ng BIR," he added.
He further emphasized that the measures taken by the BIR have improved the standardization and transparency of its processes.
Additionally, the BIR intensified its enforcement activities, such as conducting raids that led to the seizure of illegal or illicit goods, including cigarettes and vape products.
Lumagui then extended his gratitude to all BIR employees, commending their hard work, focus, and dedication in carrying out their tax collection duties.
The Commissioner explained that the overall goal was divided and assigned to different regions, with specific targets given to examiners, Regional Directors, and large taxpayers. Each had its own set goal to achieve.
"So sila rin talaga ay pumukpok ng trabaho para masigurado na makamit nila ang goal na ito," said Lumagui.
Value-Added Tax (VAT) emerged as the top contributor to the collection, following rigorous efforts to pursue cases involving ghost receipts, a scheme centered on the sale of fraudulent receipts.
Billions were reportedly collected from this initiative, and the practice of buying fraudulent receipts has significantly declined.
However, with regard to online selling, the withholding tax, which is notably minimal, took effect in November, so its impact was not strongly felt in the previous year.
"Hopefully ngayong taong ito makita natin at magkaroon tayo ng malinaw na picture doon sa kabuuan ng mga online transactions ngayong taong 2025," Lumagui stated.
Target collection for 2025
Lumagui mentioned that the target collection for 2025 will be higher, with a tentative goal set at PHP 3.2 trillion.
He further stated that the BIR, along with its employees and officials, is ready to work even harder to reach the new collection target.
"Naiintindihan naman natin na kinakailangan talaga ng pondo para matustusan ‘yung ating national budget," Lumagui said.
"Tututukan po natin ‘yan at marami pa din talaga tayong ginagawang reforms at ‘yung mga ginagawa nating activities para masigurado natin na makamit natin itong collection target ngayong 2025," he added.
Will the BIR impose new taxes?
Regarding the possibility of imposing new taxes, Lumagui clarified that it is not the BIR that imposes new taxes, but Congress.
Furthermore, there are reportedly tax measures lined up in Congress, such as the excise tax on single-use plastics.
Lumagui further mentioned that continued improvements will be made in their services, including automation and digital transformation.
"Itong digital transformation na ito ay hindi naman ito mangyayari overnight kaya humihingi tayo ng pasensya sa mga taxpayers, na in the process nitong digital transformation na ito, may mga glitches na mangyayari diyan," said Lumagui.
"Pero pinapangako po natin na pagdating 2026 diyan po matatapos lahat ng nilalatag po natin ngayon dahil dadaan pa sa mga procurement, tapos ‘yung paggawa ng bagong systems para mas ma-improve pa natin at mawala na ‘yung mga usual na nirereklamo," he added.
Ultimately, he assured the public that the BIR will do its utmost to resolve the recurring issues in their processes and work towards improving them.
