To simplify tax compliance for the country’s export industry, the Bureau of Internal Revenue (BIR) is planning a major structural restructuring designed to offer dedicated oversight and specialized services for registered business enterprises (RBEs).
The tax agency is currently seeking approval from the Department of Finance (DOF) and the Department of Budget and Management (DBM) for new permanent staff positions. This approval would allow the BIR to transition its temporary assistance desks into a permanent, institutionalized department.
BIR Commissioner Charlito Martin Mendoza shared this strategic initiative on July 14 during the third-quarter assembly of the Philippine Exporters Confederation Inc. (PhilExport) in Parañaque City. The proposed plan features the launch of an all-inclusive service department backed by physical hubs in Luzon, Visayas, and Mindanao.
“Our long-term plan is to establish a dedicated, end-to-end Registered Business Enterprises Service (RBES) within the BIR,” Mendoza announced.“
This specialized service will handle all tax compliance, rulings, and administrative needs of RBEs and exporters. The organizational proposal is currently with the Department of Finance and the Department of Budget and Management to create specific plantilla positions. We will establish dedicated physical service centers in Luzon, Visayas, and Mindanao so you have specialized tax officers who understand the mechanics of the export sector,” he added.
This planned transition comes at a critical time for local exporters, who continue to face operational difficulties regarding tax incentives under the CREATE MORE Act.
Tom Medina, president of Brand Exports Philippines, pointed out that despite legally securing VAT zero-rating benefits, actual implementation on the ground remains hindered by administrative bottlenecks.
“Under the CREATE MORE Law, we fought for four years to secure our VAT zero-rating on local purchases. Sometimes, implementing these regulations at the ground level remains highly complicated,” Medina explained.
Medina further urged the BIR to deploy auditors with industry-specific expertise. He noted that exporter-consolidators—whose business primarily involves buying and grouping local goods—are frequently subjected to rigorous tax audits designed for far more complex corporate setups.
“Exporter-consolidators are essentially traders; we buy, consolidate, and export. It is a very straightforward transaction, but standard audit assessments often treat our transactions with unnecessary complexity. Having specialized auditors who understand trading would make paying taxes much easier and more cooperative,” Medina said.
Acknowledging these operational issues, Commissioner Mendoza expressed readiness to refine the BIR’s audit procedures through collaborative dialogue with the private sector.
“I agree. This is a highly constructive point,” Mendoza said.
“The Philippine Chamber of Commerce and Industry is an active member of our BIR Partnership with Multi-Sectoral Group, which is our official consultative mechanism. We will certainly take this up in our technical working group to explore creating dedicated sub-sector audit teams.”