MANILA – With the April 15 income tax return (ITR) deadline approaching, a lawmaker is calling on the Bureau of Internal Revenue (BIR) to speed up its digital transformation to simplify and improve tax compliance.
Senator Sherwin Gatchalian has filed Senate Resolution No. 316, urging a review of the agency’s integrated digital system in line with Republic Act No. 11976, or the Ease of Paying Taxes Act.
The senator cited a growing shift toward online transactions, noting that 85 percent of BIR collections during the February 2026 tax campaign were made through digital payment channels.
According to Gatchalian, this trend shows the country is ready for a broader transition to digital tax services, highlighting the urgency of accelerating the agency’s modernization efforts.
He emphasized that stronger digital systems could enhance revenue collection while making compliance easier for taxpayers.
“A streamlined tax system reduces burdens, limits red tape, prevents corruption, and strengthens public trust,” he said.
The Ease of Paying Taxes Act mandates the BIR to implement a comprehensive digital strategy, including automated processes for registration, filing, payment, and data sharing across offices and partner banks.
For 2026, the agency was allocated PHP3.22 billion under the General Appropriations Act to support its digital initiatives, particularly its Revenue Information Systems Development and Infrastructure Support program.
However, Gatchalian noted that the BIR may not meet its target of achieving 99 percent digitalization within the year.
The proposed Senate inquiry seeks to assess the progress of the agency’s modernization program and identify ways to improve electronic tax services and boost taxpayer participation.
ia/xf
