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Tag: Romeo Lumagui

  • 75 Tax Evasion Cases Filed in Philippines Crackdown

    75 Tax Evasion Cases Filed in Philippines Crackdown

    The Bureau of Internal Revenue (BIR) in the Philippines filed 75 tax evasion complaints against vape retailers nationwide, accusing them of evading a combined ₱711.3 million ($12.8 million) in taxes by selling smuggled and unstamped products.

    BIR Commissioner Romeo Lumagui Jr. said the cases, lodged with the Department of Justice today (August 20), involve violations ranging from unpaid excise duties to failure to file tax returns. The crackdown follows earlier billion-peso cases against major brands like Flava, Denkat, Flare, and Tap Fog.

    “The government loses billions from illicit vape sales — money that should fund health care and infrastructure,” Lumagui said, vowing continued action against both big and small operators.

  • Philippines Cracking Down on Illegal Cigarettes, Criminals

    Philippines Cracking Down on Illegal Cigarettes, Criminals

    The Bureau of Internal Revenue (BIR) in the Philippines filed tax evasion charges totaling nearly ₱797 million ($14.3 million) against individuals involved in the large-scale illegal cigarette trade, intensifying its crackdown on illicit tobacco and vape operations. BIR Commissioner Romeo Lumagui Jr. announced that the charges stemmed from two recent raids.

    In Valenzuela City, authorities seized 600 master cases of untaxed cigarettes from a warehouse, with estimated tax liabilities of ₱200.7 million ($3.6 million). The lessee of the facility now faces criminal charges.

    A separate raid in San Rafael, Bulacan, uncovered an illegal cigarette factory allegedly operated by a Chinese national. The BIR recovered 7,884 master cases of illicit cigarettes and manufacturing equipment, worth ₱596.2 million ($10.7 million). The suspect also faces human trafficking charges after 155 workers were rescued from the facility.

    In a third similar bust, the National Bureau of Investigation (NBI) and the Department of Trade and Industry (DTI) arrested five individuals in Sta. Cruz, Manila, for allegedly selling unregistered vape products online. More than 25,000 vape units worth ₱8.16 million ($147,000) were confiscated in the joint operation, following test-buy and surveillance efforts. The suspects face charges for violating trade and consumer protection laws.

  • Philippines’ Vape Stamp System Working 

    Philippines’ Vape Stamp System Working 

    The Bureau of Internal Revenue (BIR) says the Philippine government’s crackdown on illicit trade is working, collecting P942 million ($17 million) in excise taxes on 130 million milliliters of vape products in the six months since the vape stamp system was introduced. In 2023, those numbers were only P224 million ($4 million) and 11.2 million milliliters for the year.

    Tax authorities vowed to intensify efforts to catch and charge noncompliant players in the growing vape market.

    “There will be no letup in our fight against illicit trade,” BIR commissioner Romeo Lumagui Jr. said. “Just recently, we filed criminal cases against importers of vape products. This shows that the campaign against the illicit trade in vape products is continuous, and we will not stop until we address this issue.”

    The BIR chief was referring to tax evasion cases filed in April against large-scale illicit vape businesses for failure to pay P8.68 billion ($156 million) in taxes. The charges involved illegal vape traders selling the brand names Flava, Denkat, and Flare. The BIR also recently combined with the Bureau of Customs to destroy P3.26 billion ($58.7 million) of seized vape products.

    Lumagui said BIR’s efforts extend beyond distributors and importers.

    “All those involved in the trade of untaxed vape products, including sellers, endorsers, and influencers, could face tax evasion charges under the tax code,” he said.