Gatchalian pushes for faster BIR digital shift

A senator is calling for the ускорation of the tax bureau’s digital transformation as the April 15 income tax filing deadline approaches, saying improved systems would ease compliance and boost collections.

Senator Sherwin Gatchalian said he has filed Senate Resolution No. 316 to review the integrated digital system of the Bureau of Internal Revenue (BIR), in line with the requirements of Republic Act No. 11976, or the Ease of Paying Taxes Act.

The lawmaker noted a growing shift toward digital transactions, citing BIR data showing that 85 percent of collections during the February 2026 tax campaign were made through electronic payment channels.

“This signals readiness for a full digital shift and underscores the need to accelerate the BIR’s digitalization program,” he said.

Gatchalian stressed that strengthening digital infrastructure would not only improve revenue collection but also simplify compliance for taxpayers.

“An effective tax administration eases taxpayer burden, boosts compliance, cuts red tape, curbs corruption, and builds public confidence,” he added.

The Ease of Paying Taxes Act mandates the BIR to adopt a comprehensive digitalization strategy, including automated end-to-end systems covering registration, filing, payment, and data sharing across offices and accredited banks.

Despite receiving ₱3.22 billion under the 2026 national budget to fund its digital initiatives—particularly through its Revenue Information Systems Development and Infrastructure Support program—the BIR may fall short of its goal of achieving 99 percent digitalization this year, the senator said.

The proposed Senate inquiry seeks to assess the current progress of the agency’s modernization efforts and identify measures to further enhance electronic tax services and increase taxpayer adoption.