NTA has stepped up its effort to combat illegal tobacco trade by raising awareness on the issue through a webinar entitled “Government Fights Back: Combating Illicit Tobacco Trade,” in cooperation with the Bureau of Customs and the Bureau of Internal Revenue, held on April 7.
Resource speakers were NTA Administrator/CEO Robert Victor G. Seares Jr.; Rep. Jericho Jonas Nograles, head of the Technical Working Groups on Illicit Tobacco and Agricultural Smuggling (Ways and Means); Atty. Beverly Milo, HREA, Large Taxpayers Service – Excise Group; and Atty. Vincent Philip C. Maronilla, Assistant Commissioner of the Post Clearance Audit Group (PCAG), Bureau of Customs.
Topics focused on initiatives of their respective agencies to combat anti-illicit trade. Rep. Nograles said that based on the Euromonitor International report, about 13 percent of the cigarettes sold in the Philippines are illegal.
The rampant smuggling of illegal cigarettes was discussed, most of which comes from neighboring ASEAN countries and shipped through the Philippines’ unmonitored shorelines.
These illicit activities have resulted in a P26-billion illicit market annually depriving the government of tax revenues.
According to the House Committee on Ways and Means, an estimated PHP 60 billion in taxes a year is lost because of untaxed tobacco products. That’s money that could have been used to fund several social service programs for Filipinos.
Administrator Seares in his presentation shared the economic impact of the tobacco industry.
“The sale of illegal cigarettes poses a major risk to public health and serious damage to our economy. The NTA, as ever, is committed to supporting the government in this fight,” he said.
To help curb these losses, the NTA vowed to intensify its drive against smuggled and illegal cigarettes. With the help of its partner agencies, the NTA launched a large-scale information campaign to educate both consumers and retailers about the dangers of illegal tobacco products.