BIR cracks down on untaxed vape products

Anti-tax fraud operatives of the Bureau of Internal Revenue (BIR) have confiscated thousands of untaxed heated tobacco and vapor ("vape") products during raids on several retail outlets located inside shopping malls in Manila.

(Photo by Donn Gabriel Baleva/ Unsplash)

Manila Revenue Regional Director Jethro M. Sabariaga said that VAPE brands Relx and Snowplus++ were seized from the stores operated by Gizmobile Ventures and Luxecity Manila. He did not give an exact figure as to the confiscated products.

Sabariaga said that a check with the BIR large taxpayers service showed that the two companies were not the registered distributor of the partucular vape brands.

He said these companies will be required to pay deficiency taxes based on the number of seized items, as prescribed under Revenue Regulations 7-2021, which implemented Republic Act (RA) Nos. 11346 and 11467.

Vape is taxed at the rate of P42 per milliliter.

Vape is an electronic, cigarette-like device that simulates tobacco smoke. Instead of smoke, the user inhales vapor.