Tobacco makers reminded on use of tax stamps on cigarettes

JUSTICE Secretary Leila de Lima on Thursday warned tobacco manufacturers, importers to comply with the Bureau of Internal Revenue (BIR) regulation to affix internal revenue tax stamps on their products or the National Bureau of Investigation (NBI) would go after them.

To ensure full compliance with the regulation, De Lima said the NBI was tapped to help the BIR.

“The NBI is deputized to help the BIR ensure full compliance with the internal revenue code. Steps will be taken including operations against those suspected of non-compliance,” de Lima said.

“So, we are telling them that they better comply now or in the next two weeks otherwise huhulihin sila or kakasuhan sila (they would be arrested and charged),” de Lima added.

On the other hand, BIR chief Kim Henares called on the public to make sure that the cigarettes that they would buy bear the tax stamps.

“Without the tax stamp, you are probably buying a stale or expired product,” Henares said.

Under the BIR regulation, all cigarettes whether locally manufactured or imported shall be affixed with internal revenue stamps effective April 1, 2015.

Cigarettes without the required internal revenue taxes will be confiscated and forfeited, and the appropriate criminal action will be filed without prejudice to the assessment and collection of proper excise taxes.

BIR said on-the-spot surveillance of cigarette products would be conducted either in the place of production, storage facilities, or in the retail market to monitor compliance.

Tax code offenders face jail time of up to eight years and a fine of P50,000 for not using the tax stamps.