The Bureau of Internal Revenue collected P13.53 billion more than its target in the first seven months of 2026, giving the government a stronger revenue base as it pushes reforms to improve tax compliance and enforcement.
Presidential Communications Office Undersecretary Claire Castro said the BIR’s January-to-July collections also exceeded the amount raised during the same period last year by P10.6 billion.
The stronger performance comes as the government seeks to increase revenues needed to fund public services while making it easier for businesses and individuals to comply with tax rules.
Castro said the results reflected President Ferdinand R. Marcos Jr.’s directive to improve tax collection and ensure that revenues support services that directly benefit Filipinos.
“Sinusunod lamang natin ang malinaw na direktiba ni Pangulong Ferdinand R. Marcos Jr. na pagbutihin ang pagkolekta ng buwis para mailaan ito sa mga serbisyo na direktang mararamdaman ng sambayanang Pilipino,” Castro said.
BIR Commissioner Charlito Mendoza said reforms to simplify tax compliance while strengthening enforcement have supported the agency’s collection performance.
The BIR is implementing a five-point reform agenda focused on simplifying tax rules and procedures, expanding digital services, improving taxpayer assistance, strengthening audit safeguards, and enhancing tax law enforcement.
The approach seeks to address both deliberate and inadvertent noncompliance. Faster digital services and clearer procedures can reduce the cost of meeting tax obligations, while stronger enforcement can improve collections from taxpayers who fail to comply.
The agency has also been upgrading its collection systems and enforcement mechanisms to improve monitoring and ensure that taxes are properly assessed and paid.
The early-year performance gives the BIR some room as it heads into the second half, but sustaining the gains will depend on whether reforms translate into broader and more consistent compliance.
For the government, stronger tax collection is important not only for meeting revenue targets but also for reducing pressure on borrowing to finance public spending.
The challenge is to keep improving collections without making compliance more burdensome. A tax system that is easier to navigate, backed by credible enforcement, could deliver a more durable increase in revenues than collection drives alone.
