The Philippine Chamber of Commerce and Industry (PCCI) has welcomed the Bureau of Internal Revenue’s (BIR) move to lift the suspension on tax enforcement activities and roll out a modernized audit framework, calling the reforms a major step toward a more transparent, predictable, and fair tax system.
The country’s largest business group expressed strong support for the issuance of Revenue Memorandum Circular (RMC) No. 8-2026 and Revenue Memorandum Order (RMO) No. 1-2026, describing both as landmark policy issuances that could reshape tax administration in the Philippines.
RMC No. 8-2026 formally signals the resumption of audit and field operations, including the issuance of Electronic Letters of Authority (eLAs), Mission Orders, and Tax Verification Notices. While this marks a return to full enforcement, PCCI said the more far-reaching reforms are found in RMO No. 1-2026.
Central to the new order is the adoption of the Single Instance Audit Framework, which limits audits to one Letter of Authority (LOA) per taxpayer per year. The framework consolidates all internal revenue tax types—including value-added tax—under a single authority.
“This policy consolidates all internal revenue tax types, including VAT, into a single authority,” PCCI President Perry Ferrer said. “It rationalizes the audit process, minimizes disruption to business operations, and promotes efficiency through the automatic consolidation of multiple eLAs into one LOA.”
PCCI said the framework addresses long-standing concerns of businesses subjected to multiple, overlapping audits within a single year. By streamlining the process, the group noted, companies can focus more on operations while still meeting their tax obligations.
The business group also welcomed other reforms under RMO No. 1-2026, including the shift to objective, risk-based audit selection criteria and the rationalization of enforcement authority. This includes the abolition of special task forces and VAT audit units, which PCCI said will help reduce duplication and inconsistency in enforcement.
Equally important, according to the group, are stronger due process safeguards. These include clearer bases for audits and the mandatory documentation of audit proceedings, measures seen as critical to ensuring accountability on both sides.
“These reforms reinforce fairness and accountability in tax administration,” said PCCI Director for Taxation Alfredo Yao.
While praising the policy direction, PCCI stressed that consistent and uniform implementation will be key to the reforms’ success. The group said it is ready to work closely with the BIR to ensure that the new rules are applied evenly across revenue offices.
A predictable and transparent tax environment, PCCI added, will not only encourage voluntary compliance but also improve the overall ease of doing business in the Philippines.
