BIR ready to implement Marcos tax reform agenda

The Bureau of Internal Revenue (BIR) on Thursday said it is fully prepared to implement President Ferdinand R. Marcos Jr.’s proposed tax reform measures, while continuing efforts to modernize tax administration and improve taxpayer services.

BIR Commissioner Charlito Mendoza said the agency supports the administration’s tax reform agenda outlined by the President during his fifth State of the Nation Address (SONA), which seeks to promote economic growth, raise government revenues, and ensure a more equitable tax system.

Among the proposed measures are the expansion of income tax exemptions and the removal of the minimum corporate income tax for small businesses.

“The BIR supports this direction and stands ready to faithfully and efficiently implement the measures that Congress may enact,” Mendoza said in a statement.

He added that the bureau is preparing its systems and operations to ensure the smooth implementation of the proposed reforms once they are enacted into law.

While awaiting congressional action, Mendoza said the BIR will continue pursuing reforms within its authority, including strengthening compliance initiatives, enhancing taxpayer services, modernizing its digital systems, and reviewing outdated processes and regulations.

He also pledged to sustain consultations with stakeholders to ensure that the bureau’s policies remain responsive to taxpayers’ needs and concerns.

According to Mendoza, these initiatives are expected to support the efficient implementation of future tax relief measures, encourage greater voluntary tax compliance, and help generate the revenues needed to fund essential government services.