Officials of the Bureau of Internal Revenue (BIR) who were involved in the alleged money-making scheme in the agency through letters of authority pocketed 70 percent of their collections.
Sen. JV Ejercito disclosed the matter in a press conference on Tuesday, saying that reports he received point to the involvement of some BIR revenue officers and regional directors in the supposed corruption.
LOAs are official documents that grant revenue officers permission to conduct a tax audit of a business or taxpayer.
‘Because the target was supposed to be projected to raise about P6 to P8 billion from these LOAs for revenue generation. But what they raised was only about P2 to 3 billion. Because 70 percent of what is collected is not remitted, instead, it goes into people’s pockets. Only 30 percent is actually remitted,’ said Ejercito in Filipino.
‘From P6 billion, they raised only about P2 billion. It’s kind of sad – everyone is doing their own schemes. I wish at least a larger amount was going to the government. Even if they took a small cut, it’s the other way around – 70 percent is being grabbed, and only 30 percent is going to the government,’ he added.
The senator said he was alarmed about the reports he received after he was notified that even ambassadors of different countries, including the American and European chamber, have fallen victims to harassment by the BIR through LOA extortion.
‘They are weaponizing LOA for corruption,’ Ejercito simply said.
Meanwhile, Ejercito said he’s certain that reports of this alleged corruption have reached former BIR Commissioner Romeo Lumagui Jr.
Asked if Lumagui can still face sanctions even if he was already replaced, the lawmaker said everyone involved should be held accountable.
‘This is accountability. Even if they already resigned or replaced, I think they still have to be answerable for actions or inaction,’ said Ejercito.
Sen. Erwin Tulfo earlier filed a resolution directing the Senate blue ribbon panel to investigate the alleged misuse and weaponization of letters of authority by personnel of the BIR.
Tulfo, in a press conference on Monday, said numerous complaints have reached his office regarding the alleged corruption in BIR.