Reforms seen boosting investor confidence—FPI

New reforms at the Bureau of Customs (BOC) and the Bureau of Internal Revenue (BIR) could bring much-needed predictability to the country’s business environment and help draw in investors, according to a prominent industry group.

- By DEXTER BARRO II

In a statement, the Federation of Philippine Industries (FPI) said the reforms presented during last week’s “Big Bold Reforms” event will help rebuild trust in the country’s tax and trade system.

At the forum, Finance Secretary Frederick D. Go announced that the BIR will fully transition to a digitized, risk-based, and data-driven system.

FPI said this builds on the BIR’s Digital Transformation (DX) Roadmap 2025-2028, which seeks to transform the way taxes are enforced.

The umbrella group of local manufacturers and producers noted that the letter of authority (LOA), which was suspended last November, often leads to “harassment and confusion.”

An LOA allows revenue officers to examine a taxpayer’s books and records.

“The new roadmap promises a different approach: audits chosen by data, not discretion,” FPI said.