Philippine BIR Files P35.16-Billion Worth of Tax Cases, Exceeding 2026 Target
Key Takeaways
- •The BIR filed 361 criminal complaints covering P35.16 billion in tax exposure with the DOJ during the first nine months of 2026, exceeding its 284-case annual target with three months still left in the year.
- •The 2026 goal was set under Revenue Memorandum Order No. 21-2025, which established the agency's performance targets for the four-year period from 2025 to 2028.
- •On Oct. 14, the BIR filed two additional complaints under its Run After Tax Evaders program involving a combined P45.07 million in assessed liabilities for taxable years 2017 and 2018.
- •Respondents include Interserve Management & Manpower Resources, Inc. and its responsible officers, as well as a sole proprietress operating V.A.T. Coconut Dealer, showing the program targets both corporate and individual taxpayers.
- •The complaint against Interserve covers P33.13 million in unpaid income tax and VAT for 2017, while the second case involves P11.94 million in deficiency income tax and expanded withholding tax for 2018.
The Bureau of Internal Revenue (BIR) filed 361 criminal complaints involving P35.16 billion in tax exposure with the Department of Justice (DOJ) in the first nine months of 2026, exceeding its full-year target of 284 cases with three months of the year still remaining.
The annual target was set under Revenue Memorandum Order No. 21-2025, which prescribed the agency's performance targets from 2025 to 2028, making 2026 the second year of the four-year target period.
In a statement on Tuesday, the BIR said it filed two additional criminal complaints under its Run After Tax Evaders (RATE) program on Oct. 14, covering a combined P45.07 million in assessed tax liabilities for taxable years 2017 and 2018. RATE is the BIR's enforcement program for pursuing criminal complaints against alleged tax evaders.
The complaints were filed against Interserve Management & Manpower Resources, Inc. and its responsible corporate officers, as well as a proprietress operating V.A.T. Coconut Dealer, for alleged willful failure to pay taxes. The mix of respondents — a corporation and its officers alongside a sole proprietor — illustrates the range of taxpayer types the program targets.
The complaint against Interserve involves P33.13 million in unpaid income tax and value-added tax (VAT) liabilities for 2017, inclusive of penalties and interest.
The second complaint involves P11.94 million in assessed liabilities, including deficiency income tax and expanded withholding tax, for 2018. The remaining months of 2026 will determine the BIR's full-year tally against its 284-case target, while the newly filed complaints undergo the DOJ's preliminary investigation, the process that determines whether criminal complaints proceed to formal charges in court.
— Justine Irish D. Tabile, BusinessWorld
Source: BusinessWorld Online
