BIR starts crackdown vs traders selling untaxed cigarettes, simultaneous raids conducted
By Jun Ramirez
The Bureau of Internal Revenue (BIR) conducted on Tuesday, Jan. 24, simultaneous raids of businesses that are allegedly selling untaxed cigarettes.
BIR Commissioner Romeo Lumagui, Jr. and Deputy for Operations Maridur Rosario spearheaded the operation in Metro Manila with surprise inspections of wholesale and retail outlets in Tondo, Manila.
A large volume of the contraband was seized as a result of the operations across the country, according to the BIR.
Tansingco initiated the operations to plug the estimated P100 billion annual revenue losses from the illicit distribution of the contraband.
Revenue regional directors in provinces, with the assistance of police forces and local government officials, conducted the same operations.
It was the first time that the bureau mounted such massive synchronized operations in its history.
Most of the retail outlets are located inside public markets of 21 provinces and 69 cities and towns.
"This is just the start of the crackdown and we will continue the activities until the racket is stopped," Lumagui declared.
He said store owners caught in the illicit trade will either be fined, or and charged in court with tax evasion depending on the gravity of the offense.
The Tax Code prescribes a wide range of fines and jail sentences for illegal distribution of tobacco products.
The fine ranges from payment of fines of as low as P1,000 to huge sum of P10 million and jail sentences from two years to 10 years