BIR urged to fast-track digitalization ahead of ITR deadline

By Wilnard Bacelonia, Philippine News Agency

Bureau of Internal Revenue in Davao Region (PNA photo by Robinson Niñal Jr.)

MANILA – The Bureau of Internal Revenue’s (BIR) digitalization program should be accelerated to make tax compliance easier and more efficient, especially ahead of the April 15 income tax return (ITR) filing deadline, a senator said on Friday.

Senator Sherwin Gatchalian said he recently filed Senate Resolution No. 316 seeking a review of the agency’s integrated digital system, as mandated under Republic Act No. 11976 or the Ease of Paying Taxes Act.

Gatchalian said the move comes as more taxpayers shift to electronic transactions, citing BIR data showing that 85 percent of collections during the February 2026 tax campaign were made through digital payment channels.

“This signals readiness for a full digital shift and underscores the need to accelerate the BIR’s digitalization program,” he said.

He said strengthening digital systems would improve revenue collection while easing compliance for taxpayers.

“An effective tax administration eases taxpayer burden, boosts compliance, cuts red tape, curbs corruption, and builds public confidence,” Gatchalian added.

Under the Ease of Paying Taxes Act, the BIR is required to implement an integrated digitalization strategy, including automated end-to-end solutions covering taxpayer registration, filing, payment, and data exchange across offices and authorized agent banks.

The senator noted that the BIR received PHP3.22 billion under the 2026 General Appropriations Act to support its digital transformation, particularly through its Revenue Information Systems Development and Infrastructure Support program.

However, he said the agency indicated it may fall short of its target of achieving 99 percent digitalization this year.

The lawmaker said the proposed Senate inquiry aims to determine the current status of the BIR’s digitalization efforts and identify measures to further improve electronic tax services and increase taxpayer adoption.