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

ACT Health Minister Vows Continued Crackdown on E-Cigarettes and Illicit Tobacco
ACT Health Minister Vows Continued Crackdown on E-Cigarettes and Illicit Tobacco
ACT Health Minister Rachel Stephen-Smith said the government would not ease its action against e-cigarettes and illicit tobacco and would continue strengthening regulation, legislation, and enforcement. Speaking at the launch of a new program to help young people quit vaping, she said reducing tobacco excise would not materially reduce profits in the illicit tobacco market.
Mar.10 by 2FIRSTS.ai
Patent Reveals China Tobacco Hubei Industrial Testing Animal Model for Heated Tobacco Safety Evaluation
Patent Reveals China Tobacco Hubei Industrial Testing Animal Model for Heated Tobacco Safety Evaluation
China Tobacco Hubei Industrial Co., Ltd. has published a patent describing a laboratory method to evaluate the reproductive and developmental safety of heated tobacco products using non-human animal exposure models. The approach introduces a structured toxicological testing framework that could support safety verification, quality control, and regulatory evidence generation for heated tobacco products.
Mar.09
PMI U.S. to Invest About USD 50 Million in New Business Solutions Center in Tampa
PMI U.S. to Invest About USD 50 Million in New Business Solutions Center in Tampa
On March 17, PMI U.S. announced an investment of about USD 50 million in a new Business Solutions Center in Tampa, Florida. The center is expected to create about 180 direct and indirect high-skilled jobs and will consolidate business solutions, distribution operations and customer service into one hub.
Mar.18 by 2FIRSTS.ai
Illegal Trade in Tobacco and E-Cigarettes Continues to Rise in Germany, BVTE and BDZ Call for Enforceable Regulation
Illegal Trade in Tobacco and E-Cigarettes Continues to Rise in Germany, BVTE and BDZ Call for Enforceable Regulation
BVTE and BDZ said at a joint press conference in Berlin on March 10 that illegal trade in tobacco products, e-cigarettes and other nicotine products continues to grow in Germany, posing challenges to the rule of law, youth protection, consumer protection and state fiscal authority. The groups said there is still no reliable overall statistic for the illegal trade in tobacco products, e-cigarettes, nicotine pouches and oral nicotine products.
Mar.12 by 2FIRSTS.ai
Pennsylvania to Publish Vape Manufacturer Directory by June 20
Pennsylvania to Publish Vape Manufacturer Directory by June 20
Now that Act 57 of 2025 is in effect, every manufacturer of nicotine-containing electronic cigarettes sold or offered for retail sale in Pennsylvania must be certified by the Pennsylvania Office of the Attorney General.
Apr.10 by 2FIRSTS.ai
Ukrainian Prosecutors and Economic Security Bureau Dismantle Illegal Vape Liquid Network Worth About UAH 30 Million
Ukrainian Prosecutors and Economic Security Bureau Dismantle Illegal Vape Liquid Network Worth About UAH 30 Million
Ukraine’s Office of the Prosecutor General and the Bureau of Economic Security said they uncovered an illegal production and sales scheme for e-cigarette liquids that had been operating in Ukraine since 2023.
Apr.14 by 2FIRSTS.ai