BIZ BUZZ: Abolish BIR?

That’s a suggestion from tax expert Raymond Abrea, who argued that the Bureau of Internal Revenue (BIR)—an attached agency of the finance department—would be better off if it were an independent institution that can enact pro-investment reforms without worrying about politics.

We all know that revenue measures—whatever their intentions are—can be extremely unpopular in the Philippines.

This is why elected presidents try to avoid them as much as possible, even though certain reforms are needed in some cases.

READ: BIR collects record P2.85 trillion tax in 2024

That said, Abrea’s proposal is to abolish BIR and replace it with an independent tax collecting agency that would not be afraid to implement reforms meant to spur investments in industries that really need support, like tax breaks for the country’s promising fashion industry, for example.

“Maybe the problem is we are so collection-driven but focused on the small ones. The government is so afraid to collect from their campaign donors, from the multinational companies who are supporting their candidacy,” Abrea said during a media conference ahead of Asian Consulting Group’s upcoming International Tax and Investment Conference later this month.

“So maybe it’s also high time to make the BIR independent of the bureaucracy like the Bangko Sentral ng Pilipinas. Maybe we have to abolish the BIR and create a new agency where the head is not a presidential appointee,” he added.

What do you think of this proposal? —Ian Nicolas P. Cigaral

ALI unlocks new awards

Ayala Land Inc. (ALI) is having quite a year.

Just last month, the Zobel family-led industry giant took home several awards at the FinanceAsia Achievement Awards for financial excellence and sustainable financing.

ALI, whose properties span multiple cities and provinces, bagged the Best Issuer-Corporates, APAC award, besting other issuers from key markets like Australia, China, Hong Kong and New Zealand.

READ: Ayala Land allots $500-million capex for hotel expansion

“The award underscores the company’s strong financial management, strategic fundraising and commitment to sustainable and innovative financing solutions,” ALI said in a recent statement.

In case you missed it, the developer also raised P6 billion from its 10-year Asean (Association of Southeast Asian Nations) sustainability-linked bond issuance last year, the first of its kind in the country.

If you’ve been paying attention to the bond market, other companies followed suit and launched the same thematic bond issuance.

This resulted in ALI taking home the Best Structured Finance Deal in Southeast Asia and Most Innovative Deal in the Philippines.

For driving the company’s financial strategies and ensuring “fiscal resilience,” ALI chief finance officer Augusto Bengzon was named Best CFO-Corporates, Southeast Asia.

And it’s just the third month of an already busy year! —Meg J. Adonis