Photo credit: Senate PH

Senator JV Ejercito is calling on the government to draw up clear and consistent rules on the Bureau of Internal Revenue’s (BIR) issuance of Letters of Authority (LOA), warning that the current system could be misused and send the wrong message to investors.

In a post, Ejercito stressed the need for firm safeguards to prevent corruption and ensure that legitimate revenue-generating efforts are not weaponized.

“We need a clear-cut and consistent policy on the issuance of LOA so that it will not be abused and weaponized for corruption,” he said.

While he expressed support for the BIR’s mandate to raise revenues, he also urged the agency to avoid measures that could be seen as excessive or arbitrary. “We support any revenue generating measures by the government agencies like BIR. Pero wag naman yung aabusuhin,” Ejercito added.

He emphasized that stability and fairness in tax enforcement are crucial for attracting both local and foreign investors. “We have to strike a balance kasi this will not give a good signal, of course for local and both foreign investments,” he said.

Ejercito reiterated the need for strong safeguards that prevent misuse of authority: “Dapat clear-cut yung policies natin, may mga safeguards tayo na hindi prone to abuse.”

His remarks come as discussions on tax enforcement practices continue to gain traction, with lawmakers urging reforms that protect businesses while ensuring the government meets its revenue goals.