Philippine BIR Plans to Expand QR Codes on Goods

Regulations by 2FIRSTS.ai
Jun.17.2024
Philippine BIR Plans to Expand QR Codes on Goods
Philippine Bureau of Internal Revenue (BIR) plans to expand QR codes to e-cigarettes, alcohol, and sugary drinks to boost tax compliance.

According to a report from Business Mirror on June 16th, the Philippine Bureau of Internal Revenue (BIR) plans to expand the use of QR codes to products such as e-cigarettes, alcoholic beverages, and sugary drinks. BIR Assistant Commissioner Jethro M. Sabaria stated that the agency plans to transition from a stamp-based system to a digital tracking system starting in the second half of 2025, beginning with tobacco products.

 

Sebraca also revealed that the domestic tax stamps affixed to cigarettes and e-cigarette products to ensure tax compliance are merely a temporary solution by the government, as they have already signed contracts with the tax stamp provider.

 

This is just a simple QR system that can only hold a limited amount of data for consumers to verify the legitimacy of the product's source.

 

The digital system will be implemented in stages, starting with tobacco products. "Sin products" such as tobacco, alcohol, sugary beverages, and e-cigarettes will gradually adopt this digital system, with one item being implemented on average every six months. Sabracard stated that this is a pay-as-you-go system, where an additional fee will be added to each purchased product, ultimately passed on to the consumer.

 

He emphasized that the QR code system is a public-private partnership (PPP) project, and the government will only inherit this system after six to twelve years or when the contract terminates. Unlike the tax ticket system where the government only collects data, the QR code system allows the government to inherit and further enhance the system, addressing any issues that may arise during the market operation period.

 

According to Seb Laka, with these measures in place, producers of "sinful goods" will ensure that their products must undergo BIR approval before being marketed. However, he did not estimate how much this action will contribute to BIR's tax revenue. He stated that if consumers have trust in the products they purchase, tax revenues will increase.

 

Sibelak stressed the importance of government focusing on the implementation of their policies to prevent harm to the public or damage to public health.

 

The primary goal of imposing a consumption tax is to curb consumption. Therefore, you should not expect to see an increase in tax revenue.

 

In 2023, the BIR's consumption tax revenue was 2916.61 billion pesos ($49 billion), which was 12.95% lower than its target of 3350.4 billion pesos ($57 billion).

 

Saiblaca stated that due to changes in consumption habits among Filipinos, the gap between BIR's consumption tax revenue for this year and its target revenue may further widen.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

 BAT Raises Growth Outlook for Smokeless Products as Velo and Vuse Gain Momentum
BAT Raises Growth Outlook for Smokeless Products as Velo and Vuse Gain Momentum
British American Tobacco (BAT) has raised its growth outlook for smokeless products, forecasting “mid-teens” growth for its new category portfolio, including vaping and nicotine pouch products, while global cigarette volumes are expected to decline further.
BAT
Jun.02
Product | PMI Introduces VEEV inPrime, Bringing an Induction Vaporization Platform to the Next Generation of the VEEV Portfolio
Product | PMI Introduces VEEV inPrime, Bringing an Induction Vaporization Platform to the Next Generation of the VEEV Portfolio
Philip Morris International (PMI) has introduced VEEV inPrime, the next-generation closed-system vape platform featuring the new AdvanceVape Induction System™. Alongside the new induction platform, PMI has redesigned the pods, e-liquid formulations and user interaction experience. According to PMI and official IQOS websites, VEEV inPrime began a phased European rollout between May and June 2026, with products now available in Greece, Estonia, the United Kingdom and Italy.
Jul.14
Special Report|Haypp’s Nicotine Pouch Volumes Rise 40%: Who Controls the Digital Shelf for Modern Oral?
Special Report|Haypp’s Nicotine Pouch Volumes Rise 40%: Who Controls the Digital Shelf for Modern Oral?
Haypp Group reported a 40% year-on-year increase in nicotine pouch volumes in the first quarter of 2026, with U.S. and U.K. volumes rising 123% and 102%, respectively. Haypp says around 97% of its consumer traffic is organic and that its Media & Insights business provides brand owners with on-site visibility, trial activation and consumer intelligence. For international tobacco companies, Haypp may be both a growth partner for modern oral products and a new source of channel leverage.
Special Report
May.22
Philip Morris Romania Expands IQOS Boutique Network to 120 Locations With Retail 2.0 Store
Philip Morris Romania Expands IQOS Boutique Network to 120 Locations With Retail 2.0 Store
Philip Morris Romania has opened IQOS Boutique Victoriei in Bucharest, expanding the country’s IQOS retail network to 120 points of sale and advancing a Retail 2.0 concept that combines design, technology, interactive art and urban culture.
PMI
Jul.13
Haypp Report Shows Nicotine Pouches Gaining Ground as a Vape Alternative in the UK
Haypp Report Shows Nicotine Pouches Gaining Ground as a Vape Alternative in the UK
According to Haypp’s 2026 UK Nicotine Report, nicotine pouches are increasingly replacing both cigarettes and vaping. The UK market grew sharply, with Haypp and Northerner reporting a 60% year‑on‑year sales increase in 2025. Notably, 40% of users adopted pouches to quit vaping, nearly matching the 43% who used them to stop smoking. This indicates pouches are expanding beyond traditional smoking cessation and gaining traction among adults seeking non‑inhalable nicotine alternatives.
Jul.01
Nearly Half of Seoul Vape Vending Machines Bypassed by Fake IDs, Raising Youth Access Concerns
Nearly Half of Seoul Vape Vending Machines Bypassed by Fake IDs, Raising Youth Access Concerns
Seoul city authorities inspected 339 tobacco vending machines at e-cigarette retailers and found that 168, or 49.5%, allowed purchases using fake IDs, showing that unmanned retail terminals and adult-verification systems remain a major enforcement gap after e-cigarettes were brought under tobacco regulation.
Market
Jul.03 by 2Firsts Perspectives