Philippine BIR Seizes 560,000 Illegal E-Cigarettes in Nationwide Raids, $7.1 Million in Tax Evasion Detected

Dec.03.2024

The Philippine Bureau of Internal Revenue (BIR) has confiscated over 560,000 illegal e-cigarette products and shuttered 817 stores in a nationwide crackdown. The total tax evasion amount is estimated at $7.1 million.

On December 3, the Bureau of Internal Revenue (BIR) of the Philippines reported that, following a month-long crackdown on illegal e-cigarette retailers and distributors, a total of 817 shops were raided. During the operation, 563,284 e-cigarette products were seized, with a total tax amount of approximately PHP 415 million (about $7.1 million), including fines.

These figures cover raids conducted from October 16 to November 22 of this year. Common violations included the absence of internal tax stamps, failure to pay excise taxes, and unregistered e-cigarette brands.

菲律宾国税局报告：一个月内查获56万件非法电子烟，涉税金额达710万美元 — BIR Launches Nationwide E-Cigarette Raids | Image Source: BIR Official Website

Earlier, BIR conducted a raid in Quezon City at a vape shop offering illegal e-cigarettes through a "secret menu," where customers could browse and order products from the store's back warehouse.

Additionally, BIR has received complaints about illegal online sales of e-cigarettes and cigarettes. The report indicates that, due to BIR’s regular raids on warehouses and physical stores, some retailers and distributors have shifted to selling e-cigarettes online.

"All online platforms and e-marketplaces should not offer for sale all illicit vape. Take them down. Block the online sellers from doing business in your platforms. Check for other keywords or phrases that these criminals use to hide or mask what they are really selling in your platforms," Lumagui said.

References:

[1] Lumagui: BIR Nationwide Operation against Illicit Vape Retailers/Resellers reaches 817 Illicit Vape Establishments raided, 563,284 Units/Pods seized, with Total Tax Liability of Php 415M after a month of raids; Report all Illicit Physical and/or Online Vape Stores to the BIR

Also Read:

[1] DTI Lifts Trade Ban on AEROGIN and RELX, FLARE and Others Still Need PS Certification

[2] Philippine Tax Bureau Cracks Down on Vape Store Selling Illicit Products

[3] Philippines Seizes $80M in Illegal Vapes Over 10 Months

[4] Philippine Finance Department: Tobacco and E-cigarette Smuggling Costs $900 Million Annually

[5] Philippines BIR E-Cigarette Tax Revenue Reaches $17M, Covers Less Than 10-20% of Market

[6] Philippine BIR to Intensify Crackdown on Illegal E-cigarette Market as Revenue Falls Short

[7] Philippines Bureau of Internal Revenue to intensify crackdown on illegal e-cigarette products

[8] Philippines DTI: Unregulated E-cigarette Products Flood Market, Urges Legal Purchases

[9] Revised Regulations on Nicotine and Non-Nicotine Vaping Products

#E-cigarettes #Asia #Philippines #Enforcement

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