The Bureau of Internal Revenue (BIR) launched the Simultaneous Nationwide Destruction of Illicit Vape Products, underscoring the government’s resolute and uncompromising stance against the illegal trade of excisable goods.
The operation, spearheaded from the BIR National Office and carried out concurrently across various Revenue Regions nationwide, involves the destruction of a total of 448,494 units of illicit vape products. These seized products carry an estimated tax liability of P1.34 billion, inclusive of penalties. The destruction process began today and will continue over the next three days, being livestreamed 24/7 as part of the nationwide operation.
In his message during the destruction, Commissioner of Internal Revenue Charlito Martin R. Mendoza emphasized the necessity of conducting the activity publicly and simultaneously.
“The government does not—and will not—tolerate the sale of vape and vapor products without the full and proper payment of excise taxes, as evidenced by the excise tax stamps that must be affixed to every vape product sold,” Commissioner Mendoza stated.
He stressed the dual purpose of excise taxes on so-called “sin products”:
Public Health Regulation: To discourage consumption, especially among the youth, by raising retail prices.
Revenue Generation: To fund essential public services, particularly vital healthcare programs.
Commissioner Mendoza further warned that the absence of the official excise tax stamps is a clear indicator of danger. “The absence of excise tax stamps tells us that these distributors and sellers undermined and evaded government oversight of these sin products, including our authority to monitor, regulate, and control their sale and distribution.” He cautioned that unstamped products cannot be simply released into the market because their contents and device safety cannot be assured, particularly concerning battery-powered devices.
The destruction follows sustained enforcement operations conducted pursuant to Section 6(C) of the National Internal Revenue Code of 1997, as amended. The forfeiture and disposal of the seized products are carried out in accordance with Sections 224, 225, and 279 of the Tax Code, as implemented under Revenue Regulations Nos. 14-2024 and 16-2024.
The event was witnessed by senior representatives from multiple government agencies, highlighting a unified front against illicit trade. Key officials in attendance included:
Department of Environment and Natural Resources (DENR) Secretary Raphael P. M. Lotilla
Department of Finance (DOF) OIC Undersecretary Euvimil Nina R. Asuncion
Bureau of Customs Commissioner Ariel F. Nepomuceno
Department of Trade and Industry (DTI) Assistant Secretary Atty. M. Marcus Valdez
Representatives from the Commission on Audit (COA), National Bureau of Investigation (NBI), Philippine National Police (PNP), Department of Health (DOH), National Security Council (NSC), and the Anti-Money Laundering Council (AMLC).
Commissioner Mendoza reiterated the BIR’s commitment to intensifying enforcement efforts. “We will continue to seize, destroy, and permanently remove unstamped vape products from the market to ensure that no one profits by placing consumers at risk,” he vowed.
“Our enforcement actions will be more intensified, coordinated, and uncompromising to protect public health, uphold the law, and safeguard legitimate government revenues,” he concluded.
The BIR urges consumers to report the sale of vape products without the official excise tax stamps, reminding the public that these unstamped products are illegal, untaxed, and unsafe for use.
The Simultaneous Nationwide Destruction of Illicit Vape Products highlights the BIR’s sustained commitment to combating illicit trade, strengthening regulatory compliance, and upholding fiscal integrity in support of national public health and revenue objectives.
