BIR Conducts One of the Largest Raids Against Illicit Cigarettes in History
In a recent operation that has been described as one of the largest of its kind, the Bureau of Internal Revenue (BIR) has successfully conducted a raid on three warehouses/factories located in Indang and Dasmariñas, Cavite. According to a Facebook post by the Presidential Communications Office, BIR Commissioner Romeo D. Lumagui Jr. announced that the raid, which took place on March 21, 2024, resulted in the discovery of an estimated P 5.4 billion in total tax liability.
Commissioner Lumagui emphasized the significance of the operation, stating, “This is one of the largest raids against illicit cigarettes in the history of the BIR, having an estimate of P 5.4 billion in total tax liability. The BIR will continue targeting these large-scale illicit cigarette traders.” He further advised all cigarette operations to register with the BIR and comply with the proper excise taxes to ensure a level playing field and protection for legitimate businesses.
The raid led to the recovery of master cases of cigarettes, machines, sacks of raw tobacco, and counterfeit internal revenue stamps. The individuals responsible for the operations in the raided warehouses/factories are now facing criminal and civil charges for various violations under the National Internal Revenue Code, including but not limited to sections related to the filing of returns, payment of excise taxes, unlawful possession of cigarette paper, and offenses relating to stamps.
Commissioner Lumagui’s statement, as reported on the Facebook post, also included a stern warning: “Hindi aatras ang BIR kahit malalaking warehouse o pabrika ng ilegal na sigarilyo pa ang kailangan namin pasukin,” asserting the BIR’s commitment to pursuing large-scale illegal cigarette operations and enforcing tax compliance across all business sizes.
This operation marks a substantial effort by the BIR to clamp down on the illicit cigarette trade and underscores the importance of tax compliance in supporting legitimate enterprises and government revenue.