Philippine BIR Will Destroys Nearly 450,000 Illicit Vape Products Over Unpaid Taxes

Key Points

 • The Bureau of Internal Revenue led a simultaneous nationwide destruction of illicit vape products, covering multiple revenue regions;
• The operation involved unpaid excise taxes and penalties totaling 1.34 billion Philippine pesos (about US$22 million), with 448,494 units scheduled for destruction over three days;
• The seized vape products violated excise tax laws due to unpaid taxes, missing internal revenue stamps, and unregistered brands;
• The BIR stated that unstamped vape products pose safety risks and cannot be taxed and released back into circulation;
• To date, enforcement operations have resulted in the seizure of 742,778 illicit vape units, with tax liabilities amounting to 2.73 billion pesos.

2Firsts, December 15，2025 – According to the Philippine Bureau of Internal Revenue (BIR), the agency on Monday led a simultaneous nationwide destruction of illicit vape products, citing unpaid excise taxes and penalties totaling 1.34 billion Philippine pesos (approximately US$22 million).

The operation was spearheaded from the BIR National Office and carried out across various Revenue Regions, targeting 448,494 units scheduled for destruction over a three-day period. The seized products were found to be in violation of excise tax laws due to non-payment of taxes, non-affixture of internal revenue stamps, and non-registration of vape brands.

BIR Commissioner Charlito Martin Mendoza said the government would not tolerate the sale of vape and vapor products without proper payment of excise taxes, as evidenced by mandatory excise tax stamps.

Excise taxes on so-called “sin products,” including vapes, are intended to regulate consumption—particularly among youth—and generate revenue for public services, especially healthcare programs.

The BIR said sustained enforcement operations have so far resulted in the seizure of 742,778 illicit vape units, with an estimated tax liability, including penalties, of 2.73 billion Philippine pesos (approximately US$46 million).

Mendoza warned that unstamped vape products are unsafe, noting that the lack of tax stamps indicates evasion of regulatory oversight and raises concerns over product contents and device safety.

The destruction is being conducted under the Tax Code and relevant BIR issuances, in coordination with the Department of Environment and Natural Resources to ensure compliance with environmental standards. Representatives from the Department of Finance, Bureau of Customs, Department of Trade and Industry, and Department of Health witnessed the activity.

Mendoza reiterated that enforcement efforts would intensify in the coming year and urged consumers to report the sale of unstamped vape products.

Image source: Manila Standard