It’s direct to the point as the President challenged everyone — professionals, small businesses, medium enterprises, corporations, etc. — to pay not only the correct amount of taxes, but also to be timely in their payment in order to support the country’s economic recovery and expansion.
This he said during the National Tax Campaign launch of the Bureau of Internal Revenue (BIR) last Feb. 7, 2023, which highlighted the value of taxes, which is used for a myriad of purposes — from social service to the poor, infrastructure building and rehabilitation, to post-pandemic recovery. Government moves with funds sourced from taxes. Therefore, it is also imperative for the government to judiciously use each peso for the benefit of the Filipino.
“(We) vow to ensure that every peso of taxes paid will be an investment in uplifting people’s quality of life,” said the President. “(We) assure the public that the government will remain committed to managing and utilizing these contributions for the benefit of the country and for every Filipino.”
With this assurance, the President also called on the BIR to strengthen public trust and confidence in the country’s tax system. After all, it would be easier for the taxpayers to comply if it sees a competent and professional BIR.
“I also challenge the men and women of the BIR to work toward further gaining the confidence of the public in the tax system by upholding the highest standards of integrity, professionalism, and competence in the performance of your duties,” the President said, noting that his administration will always support the agency’s aspiration of developing a country that is “conducive for employment opportunities, financial investments, and institution-building.”
If there is one thing that the young Marcos administration is now known for keenly implementing in various departments and agencies, it is digitalization. This was once again encouraged by the President, when he instructed the BIR to harness technology to accomplish more efficient, effective, and reliable tax collections. “As we move forward to the future, the importance of utilizing modern and updated technology to ensure a more efficient tax collection becomes absolutely imperative. It is my hope that the (BIR) will continue its commitment to pursuing and upgrading its digitalization programs.”
Digitalization, the President has said, will help address systemic challenges and cut down on graft, corruption, and red tape.
The President also recognized the BIR for its efforts in raising the country’s revenue collection for 2022, especially in running after tax evaders. Based on data, 115 cases were filed with the Department of Justice (DOJ) amounting to ₱5.1 billion in tax liability, while 38 cases were filed with the Court of Tax Appeals amounting to an estimated ₱5.32 billion in tax liability. On the other hand, 74 criminal complaints for tax evasion were filed with the DOJ, with about ₱3.58 billion in tax liability.
The work of the BIR continues as there are more tax-related issues to come — and tax evaders to catch. Each Filipino professional and business owner must be aware that taxes are very vital, as it is like fuel to a car’s engine. If there is a deficiency or shortage in the collection of taxes, the economy will just move slowly, little by little, far away from its intended destination. That’s the last thing we want in a post-pandemic world.