By Vanne Elaine Terrazola Senator Joel Villanueva on Thursday hit the Bureau of Internal Revenue (BIR) for ordering online entrepreneurs to register and settle their taxes, saying the state tax regulator should focus on going after Philippine offshore gaming operators (POGOs) who have been refusing to pay their obligations. Sen. Joel Villanueva
(Senate of the Philippines) Villanueva decried the BIR's issuance of a memorandum circular telling all persons that are doing business and earning income from digital platforms to follow the Tax Code and register not later than July 31. They were also directed to declare their past transactions and pay their taxes. Late registration and payment shall be slapped with penalties under the existing laws and regulations. “Pasalamat po tayo at likas na ma-diskarte ang ating mga kababayan (We should be thankful that Filipinos are naturally resourceful). Hindi na nga po natin nabigyan ng tulong ang karamihan, bubuwisan pa natin yung mga nais maghanapbuhay ng marangal (We weren't even able to help the majority of our countrymen, but now we are taxing those who just wanted a decent livelihood)," Villanueva said in a statement. In a tweet, he also lamented: "Hindi naman milyon milyon ang kinikita ng maliliit na online sellers. #PusoNaman (These small online sellers do not even earn millions. Have some heart.)" "Dapat tutukan ng BIR ang POGO na may utang na P50 billion na tax last year pa (The BIR should focus on POGOs which owe the government some P50 billion in taxes). Ngayong COViD 19, pwede bang kapakanan ng mga kababayang Pilipino muna natin ang manguna (During the COVID-19, shouldn't the welfare of our fellow Filipinos be prioritized)?" he added. Villanueva said that while he understands the need for government revenues, the mass layoffs and spike in unemployment highlighted the need for alternative means of livelihood. "Alam po natin na kailangan ng ating gobyerno na kumulekta ng buwis (We know that the government needs to collect taxes). Unahin po natin yung mga napatunayan nang atrasado sa pagbabayad ng buwis (But we should go after those who were proven late in paying their taxes)," he said. Villanueva said the government's call for POGO firms to pay their unpaid taxes "has fallen on deaf ears". Online gambling businesses were earlier required by the BIR to settle first their tax obligations before they are allowed to resume operations. But two weeks after the memo’s release, BIR Deputy Commissioner Arnel Guballa was reported as saying that no POGO firms or their service providers have complied with the order. Despite this, some POGO operations were found illegally operating during the enhanced community quarantine in Metro Manila. "Ang dami nang pagkakataon ang ibinibigay ng gobyerno sa mga POGO para ituwid ang kanilang operasyon (The government has given several chances for POGOs to clean up their operations). Malinaw po na winawaldas lang nila itong pagkakataon (It's clear that they are wasting them),” Villanueva said. "Ganitong pagkakataon po dapat ang ibinibigay rin natin sa mga mamamayan natin, lalo na sa mga online sellers na nakikipagsapalaran ngayon (And such an opportunities should equally be given to our countryment, especially to online sellers)," he said. Meanwhile, Villanueva also urged the BIR to intensify its information campaign to encourage micro, small, and medium enterprises to register with the BIR, the benefits of doing so and the taxes applicable to them. Under the Tax Reform for Acceleration and Inclusion (TRAIN) Law, a sole proprietorship earning P250,000 or less is not subject to tax. Read more: BIR directs online sellers to register before July 31