Commissioner Romeo D. Lumagui Jr, Dumalo sa Cambridge International Symposium on Economic Crime

PTVPhilippines

Commissioner Romeo D. Lumagui Jr, Dumalo sa Cambridge International Symposium on Economic Crime  For more news, visit:  ►https://www.ptvnews.ph/  Subscribe to our DailyMotion Channel: ►http://www.dailymotion.com/peoples-television-incorporated  Subscribe to our YouTube channel: ►http://www.youtube.com/ptvphilippines  Like our Facebook pages: ►PTV: http://facebook.com/PTVph  ►Rise and Shine Pilipinas: https://www.facebook.com/riseandshinepilipinas  Follow us on Twitter:  ►http://twitter.com/PTVph  Follow us on Instagram: ►https://www.instagram.com/ptvph  Watch our livestream on:  ►http://ptvnews.ph/livestream/ ►https://www.dailymotion.com/PTVPhilippines  Watch our News Programs, every Mondays to Fridays  Rise and Shine Pilipinas - 6:00 - 8:00 am Bagong Pilipinas Ngayon - 12:00 - 1:00 pm Sentro Balita - 1:00 pm - 2:00 pm Ulat Bayan - 6:00 pm - 7:00 pm PTV News Tonight -  9:30 pm - 10:30 pm  Saturday & Sunday: ►Ulat Bayan Weekend - 6:15 pm - 7:00 pm

Transcript

00:00And now, let's go to my colleagues here in the studio, Commissioner June of the BIR and of course, Director Nicolette.

00:11Welcome back to Bagong Pilipinas Ngayon.

00:14We'll start with you, Commissioner June of the BIR.

00:18You attended the Cambridge International Symposium on Economic Crime a while ago.

00:25You are the first Philippine government official to be invited to speak at this symposium.

00:31What can you say about this? And congratulations.

00:35First of all, we are excited to be invited here at the Cambridge International Symposium on Economic Crime.

00:43This is a very important topic for the whole world.

00:47That's why all the country and experts in the field of economic crimes will be here.

00:54And of course, we were able to listen to what other countries are facing

01:00and we were also able to share our experience here in our country.

01:05Commissioner, for our countrymen to understand better,

01:09what is the purpose and importance of this symposium that you attended?

01:16This symposium is very important.

01:19Again, this symposium discusses economic crimes that are present in different parts of the world.

01:26There are many illegal crimes that are happening.

01:28This symposium discusses the different types and mechanisms of economic crimes that are faced by each country.

01:39And one of the topics that we discussed here in our country is the issue of pecking receipt

01:45that we are chasing and chasing.

01:49Because it is considered a heavy financial crime or economic crime that affects our economy.

01:56That's why it is very important for all countries to focus on this topic because we are all affected by this.

02:02And recently, the Anti-Agricultural Economic Sabotage Act was passed.

02:08So what can you say about this?

02:10And what will be the role of BIR in its implementation?

02:15This law is a very good development here in our country

02:19because we know that our country is also an agricultural country.

02:23There are many who rely on agriculture.

02:26That's why we need to protect this industry.

02:29And this Anti-Agricultural Smuggling Act,

02:32particularly here in BIR, we are focused on illegal trade and the smuggling of cigarettes.

02:39And we can see that we are continuously raiding the illicit trades of cigarettes

02:45because that is already a problem.

02:46Others are doing different fronts.

02:49For example, they will export, but in reality, they are just selling here.

02:52And there are still many products that do not comply and are registered in BIR.

02:58And those that are not paid are the excise tax.

03:01That's why BIR's role here is to coordinate with the National Tobacco Administration as well

03:07to know and help in stopping the smuggling of cigarettes.

03:13Commissioner, when it comes to smuggling,

03:16are there other examples that can be considered a violation of this law?

03:20There are many.

03:23We also have agricultural hoarding, monopolies,

03:30and those things are discussed in the Anti-Agricultural Smuggling Act.

03:35Okay.

03:36Let me think.

03:37We are talking about agricultural tobacco products.

03:41Are there many smuggled products?

03:46Are there cigarettes, vape, and other cigarette products?

03:52Yes.

03:53That is just one of the aspects that BIR monitors.

03:58But when it comes to anti-agricultural smuggling,

04:01of course, there are different types of agricultural products included.

04:05So there are many.

04:06But here, because of BIR,

04:08our concern is the excise tax that is not paid for the illegal sale of cigarettes.

04:15What are the penalties for those who smuggle here, Commissioner?

04:20For those who smuggle,

04:24the highest penalty here is life imprisonment.

04:31The penalties are up to five times the value of the agricultural product that is caught.

04:38Commissioner, what are the steps of BIR

04:42for the proper implementation of this Anti-Agricultural Economic Sabotage Law?

04:49First of all, we are coordinating with various government agencies.

04:55First is the National Tobacco Administration and other government agencies

05:00to ensure that we can implement this law properly.

05:04We also want to coordinate with the police and the NBI

05:08to help us in the raid of smugglers in warehouses.

05:14That is what we are doing.

05:15Our enforcement is more strict here.

05:18We are building specific task forces

05:21and we are continuously monitoring the warehouses here.

05:26How many are missing from our country?

05:30Specifically, for example, when it comes to tobacco, smuggled tobacco goods.

05:35There is a big estimate there.

05:37Billions are missing from our country.

05:40That is why our collection of excise tax is there.

05:44It is a bit challenging to reach the target of excise tax collection

05:49because it is also here.

05:51Others focus on shifting from cigarettes to vape products.

05:57That is why we are focusing on this industry

06:00to ensure that we can capture and know how many are really missing here.

06:05But it is a big number.

06:07The fact is that billions of pesos are missing just for tobacco.

06:11Can you just imagine the other agricultural products that do not pay?

06:16That is why this law is really good.

06:18Hopefully, this will be a deterrent

06:20so that the number of agricultural smugglers in the Philippines will not decrease.

06:24Okay.

06:25Meanwhile, Commissioner,

06:27President Marcos also passed a bill for VAT,

06:31for Digital Service Providers.

06:33To make it clearer for our countrymen,

06:36what does this mean?

06:38What are these Digital Service Providers?

06:41The Digital Service Providers under this new law,

06:45the imposition of VAT on Digital Service Providers

06:49imposes VAT on those who sell services online.

06:54That is generally the content.

06:57We need to emphasize that this law is not a new tax measure.

07:03This is just a new law.

07:05The authority of the BIR just strengthened to collect this law.

07:10Internationally, the companies involved in this know

07:14that they need to pay VAT

07:17because they already know that when they sell in other countries,

07:21even if they do not have a presence in the country where they are selling,

07:24they need to pay VAT.

07:27Commissioner, how important is this law,

07:31especially in the revenue of the Philippines?

07:34This is important because,

07:37first of all, it levels the playing field

07:39because the local Digital Service Providers are already paying VAT.

07:44Foreigners who are not here,

07:46they are the ones who have more subscribers here

07:50just like the movies we watch, the music.

07:53Yes.

07:54And our estimate there is that

07:56we will be able to collect more than P100 billion

07:59over the period of five years.

08:01Wow.

08:02Okay, I guess it's okay to mention

08:04what are the digital companies involved in this law

08:08and how will the BIR enforce it?

08:11The examples are Netflix,

08:14where we watch,

08:16it is subscription-based.

08:18Then there are Spotify,

08:20Google,

08:21cloud-based services.

08:23So it is a service that is being implemented here.

08:27And we are enforcing it.

08:29First of all, even before this law was passed,

08:33we have already coordinated with the big companies.

08:37They know their responsibilities

08:39and will comply.

08:40That's why the discussions with these companies are beautiful.

08:44So when will we feel that Netflix,

08:48Disney,

08:49Spotify,

08:50HBO are more expensive?

08:52First of all, we cannot say if the price will really increase.

08:56Again, what we can say is that these companies already know

09:00that in other countries, they are already paying VAT.

09:03So here, we are the last ones to talk about this.

09:07They already know that.

09:08So maybe when they impose the pricing,

09:11they already know that they will be subject to VAT.

09:13So it's possible that the price will not increase.

09:16But of course, we cannot guarantee that the price will not increase.

09:19But it doesn't mean that 12% of our current budget

09:23will increase that.

09:26So it depends.

09:27We will also look at it.

09:28And if there is a change,

09:31when will we feel it?

09:33As per the law,

09:35we have 90 days to do the implementing rules.

09:38And after those 90 days,

09:40there will be a deadline

09:41because we still have a lot of systems development here in BIR

09:46for them to register

09:47and for the payment to go online.

09:50Because all of that will be done online.

09:52So we are still given 120 days

09:55after the promulgation of the implementing rules

09:58for the digital service providers to comply.

10:01Okay.

10:02So next year.

10:03Next year.

10:05September, October, November.

10:07Okay.

10:08Maybe next year.

10:09So we can still rest.

10:10You can still watch.

10:11Thank you very much, Commissioner Jun

10:13for sharing your updates with us

10:15from your place in BIR.

Category

Transcript

Recommended