BIR seizes cigarettes with P8.5 billion tax liability

The BIR simultaneously raided a factory in Bulacan and three warehouses in Valenzuela City where illicit cigarettes and unregistered machines were found on Nov. 6.

MANILA, Philippines —  The Bureau of Internal Revenue (BIR) has confiscated 11.5 million packs of illicit cigarettes with an estimated tax deficiency of P8.54 billion.

The BIR simultaneously raided a factory in Bulacan and three warehouses in Valenzuela City where illicit cigarettes and unregistered machines were found on Nov. 6.

The raided establishments are believed to be part of a criminal ring, the BIR said.

BIR Commissioner Romeo Lumagui said this was the largest illicit cigarette operation conducted this year.

The agency also confiscated raw materials, cigarette-making and packing machines.

Six Chinese nationals were arrested during the operation.

The BIR continues to target large-scale cigarette traders as the government is losing billions in taxes from the illicit trade of the commodity.

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