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

From Border-Logistics Insiders to Retail Service Stations, Australia Mounts a Sweeping Crackdown on the Illicit Nicotine Trade as iGET Vapes Surface in A$80 Million Crime Networks
From Border-Logistics Insiders to Retail Service Stations, Australia Mounts a Sweeping Crackdown on the Illicit Nicotine Trade as iGET Vapes Surface in A$80 Million Crime Networks
Australian authorities have disclosed two major enforcement actions that go beyond product seizures and retail closures to examine how illicit tobacco and vape networks operate. On Aug. 14, the Multi Agency Strike Team said seven people had been charged and two criminal networks were valued by authorities at a combined A$80 million, or about US$56.8 million. Investigators allege the groups used bonded warehouses, freight businesses and “trusted insiders” in legitimate industries to circumvent border controls. In a separate operation on Aug. 11, more than 100 service stations were targeted as authorities sought information on illicit tobacco importation, distribution networks and the movement of sales proceeds.
Aug.17
Philippines Customs Seizes PHP11.68 Billion($200 Million) in Illegal Tobacco and Vapes in First Seven Months of 2026
Philippines Customs Seizes PHP11.68 Billion($200 Million) in Illegal Tobacco and Vapes in First Seven Months of 2026
Philippines Customs data showed that illegal cigarettes and vape products seized during the first seven months of 2026 were valued at about PHP11.68 billion, exceeding the PHP2.516 billion recorded for the full year of 2025. The figures were disclosed by a Bureau of Customs official during a House Committee on Ways and Means hearing on tobacco excise tax reforms. Vape-related seizures were valued at about PHP1.65 billion, with most cases recorded at the Manila International Container Port. Customs officials said enforcement against illicit tobacco trade would continue.
Aug.26
UAE Sets Dh1-Per-ml Minimum Excise Price for Vape Liquids From Sept. 1 While Keeping 100% Tax Rate
UAE Sets Dh1-Per-ml Minimum Excise Price for Vape Liquids From Sept. 1 While Keeping 100% Tax Rate
The UAE Ministry of Finance will introduce a minimum excise price for e-liquids used in vaping and electronic smoking devices from September 1, 2026. The minimum excise price will be set at AED 1 per millilitre. The existing 100% excise tax rate will continue to apply to tobacco and electronic smoking products. The measure changes the minimum taxable base rather than the tax rate, with the UAE government saying it aims to establish unified tax standards, improve market compliance and prevent pricing loopholes.
Regulations
Aug.07 by 2Firsts Perspectives
Yinghe-Controlled Vape Maker SKE Ordered to Post £569,039 Security as It Pursues Crystal Bar Design Infringement Case in UK
Yinghe-Controlled Vape Maker SKE Ordered to Post £569,039 Security as It Pursues Crystal Bar Design Infringement Case in UK
The UK High Court has ordered Chinese vape manufacturer Shenzhen SKE Technology to provide £569,039 ($776,000) in security for costs in its design infringement proceedings against Vapepen London and other defendants over its Crystal Bar vape product. The court did not accept the defendants’ main argument that recovering costs from a China-based company would face significant enforcement obstacles, but found that SKE had not sufficiently disclosed its own financial position. The order is procedural and does not determine the underlying infringement claims.
News
Aug.21
Special Report | China Opens Draft Mandatory Heated Cigarette Standard for Comment, Multiple Heating Technologies Remain in Scope
Special Report | China Opens Draft Mandatory Heated Cigarette Standard for Comment, Multiple Heating Technologies Remain in Scope
China’s State Tobacco Monopoly Administration (STMA) has released a draft mandatory national standard for heated cigarettes, setting out detailed requirements for tobacco sticks, heating devices and aerosols. The proposal treats the stick and device as parts of the same product system, focuses on minimum safety and quality requirements, and leaves several heating architectures within scope.
Special Report
Jul.29
UK Vape Brands Face White-Packaging and Flavour-Name Curbs in Youth-Appeal Crackdown
UK Vape Brands Face White-Packaging and Flavour-Name Curbs in Youth-Appeal Crackdown
The UK government and devolved administrations have launched a 12-week consultation on proposals to make vapes less appealing to children, including plain white packaging, limits on device colours, restrictions on flavour names and changes to how products are displayed in shops.
Jul.10