Cabanatuan: The Bureau of Internal Revenue (BIR) announced on Tuesday that a cigarette factory in Cabanatuan City, Nueva Ecija, which was raided last month, has accrued a tax liability amounting to PHP636 million. The factory is under investigation for multiple violations of the National Internal Revenue Code (NIRC), including unlawful possession and evasion of excise taxes.
According to Philippines News Agency, BIR Commissioner Romeo Lumagui Jr. emphasized the government’s ongoing efforts to combat illicit trade in a statement. He underscored the significance of the recent raid in Cabanatuan City as part of a broader strategy to ensure a fair marketplace. Lumagui vowed that more raids will be conducted in the future, targeting large-scale illicit cigarette operations across the country.
The investigation into the factory’s activities has revealed several violations related to the NIRC. These include unlawful possession or removal of excisable goods without tax payment, as well as breaches committed by manu
facturers, importers, and sellers of cigarette-related materials. Other infractions involve failure to file proper returns, provide accurate information, and remit taxes, along with attempts to evade tax obligations.
During the raid, authorities apprehended 15 Chinese nationals believed to be involved in the operation. The BIR disclosed that the factory was disguised as a rest house located behind a gasoline station. The National Bureau of Investigation (NBI) discovered illicit cigarettes, machinery, counterfeit tax stamps, raw tobacco, and other manufacturing materials at the site.
Additionally, the facility was found to lack proper sanitary conditions, with raw tobacco left exposed on the floor, accumulating dirt and dust. These findings have further intensified the scrutiny on the operators as the investigation continues.