While businesses involved in ghost selling have paid over ₱4.3 billion as of December 2024, the Bureau of Internal Revenue (BIR) chief expects this amount to double to at least ₱8 billion once ongoing assessments are completed.
Earlier this month, the BIR reported that the Run After Fake Transactions (RAFT) program led to the filing of cases against ghost sellers and buyers, with initial collections last year surging more than seven times the ₱600 million total in 2023.
BIR Commissioner Romeo Lumagui Jr. told reporters during the kick-off of the national tax campaign that the country’s main tax agency’s initial collection from corporations involved in “ghost receipts” or fraudulent transactions is still small compared to its total collection.
“It’s just a small amount. We’re collecting a significant sum from that. We are continuing to file cases, and we will keep filing more,” Lumagui said, noting that the BIR has ongoing assessment of the cases.
While the BIR chief expects collections to surge, he noted that the agency’s main challenge is businesses hiding from authorities.
Lumagui clarified that the payments made by the involved business owners have resulted in the forfeiture of cases filed against them. He also hinted at filing charges against giant corporations that have violated tax laws.
Beyond illicit cigarettes, Lumagui likewise warned to file criminal cases this year against those involved in illicit vapes.
“We know who you are. This includes both large-scale importers and small-scale retailers/resellers,” the Commissioner said.
He further assured that a tax verification will be carried out occasionally to ensure that the businesses are registered and have their own receipts.
“We’re not going to do that [regularly] because we’re going to focus on monitoring the collections. Because otherwise, it will be difficult if left unchecked,” he asserted, noting that the verification drive is continuous.