BIR pushes simpler tax compliance for exporters

The Bureau of Internal Revenue (BIR) unveiled a series of reforms aimed at simplifying tax compliance, lowering compliance costs, and creating a more business-friendly tax environment during the Philippine Exporters Confederation Inc. (PHILEXPORT) 3rd Quarter General Membership Meeting on July 14 in Parañaque City.

Speaking before exporters and business leaders, BIR Commissioner Charlito Martin R. Mendoza said the agency’s reform agenda aligns with Finance Secretary Frederick D. Go’s directive to make the BIR more “business- and investor-friendly” and President Ferdinand R. Marcos Jr.’s call for government services that are easier to understand, comply with, and access.

The dialogue carried the theme, “Building a Business-Friendly Tax Environment,” and focused on reducing administrative burdens on taxpayers while improving the efficiency of government services.

PHILEXPORT President Dr. Sergio R. Ortiz-Luis Jr. underscored the need for stronger collaboration between the government and the private sector to improve the country’s export competitiveness.

“The challenges facing exporters cannot be solved by government or business alone. Cooperation and collaboration are essential,” Ortiz-Luis said.

Mendoza said the BIR’s policy reforms were shaped through consultations with taxpayers and industry stakeholders before implementation.

“Before introducing reforms, we listened to the people expected to comply with them. Better policies are developed with the people who will implement and comply with them,” he said.

Among the measures highlighted was the updated eBIRForms package, including BIR Form No. 1701-MS, a simplified annual income tax return designed for micro and small individual taxpayers.

The commissioner also cited the Digital Taxpayer Identification Number integrated into the eGovPH platform, the QR code-enabled Certificate of Registration and Registration Seal Badge, and the phased rollout of the Taxpayer Portal to streamline taxpayer transactions.

Other initiatives include the BIR’s integration into the National Single Window through the Electronic Authority to Release Imported Goods (eATRIG), the Ease of Closing Business initiative, and the One-Time Tax Abatement Program for qualified micro taxpayers.

Mendoza also outlined reforms intended to make tax administration more predictable, including improvements in audit procedures, clearer regulatory guidance on emerging tax issues, and sustained consultations with business groups through the BIR Partnership with the Multi-Sectoral Group and the Connect, Hear, and Align with Taxpayer Groups (C.H.A.T.) initiative.

“How do we build a business-friendly tax environment? We do so with a clear direction provided by BIR DARES, and by putting taxpayers at the center of tax administration, providing predictable regulations, and making compliance more efficient,” Mendoza said.

The BIR has been pursuing digitalization and regulatory reforms as part of the government’s broader ease-of-doing-business agenda, which seeks to improve tax administration, enhance revenue collection, and reduce compliance costs for businesses while encouraging greater investment and economic activity.

The PHILEXPORT gathering also featured presentations by Bureau of Customs Commissioner Ariel F. Nepomuceno, who discussed customs modernization and trade facilitation reforms, and Small Business Corp. Vice President Wally Don G. Calderon, who presented financing opportunities for exporters and micro, small and medium enterprises.

The event concluded with an open forum, where government officials and PHILEXPORT members exchanged views on tax administration, customs modernization, access to financing, and other policy reforms aimed at strengthening the competitiveness of Philippine exporters.