The Bureau of Internal Revenue (BIR) stepped up its nationwide tax enforcement campaign on June 30, but stressed that helping taxpayers comply remains its first priority, with business closures reserved as a last resort.
The agency’s Oplan Kandado 2026 covered 419 cases involving an estimated P742.1 million in potential tax exposure based on five-day VAT Compliance Notices issued to erring taxpayers.
Operations were monitored through the National Command Center in Quezon City as revenue offices across the country carried out inspections under the theme, “Assistance First to Comply. Enforcement Only When Necessary.”
By the end of the operation, the BIR had enforced 132 Closure Orders in accordance with tax laws. However, many establishments avoided shutdown after voluntarily registering their businesses, filing overdue tax returns and settling unpaid obligations with assistance from revenue personnel.
BIR Commissioner Charlito Martin Mendoza said the bureau’s objective is to improve compliance rather than padlock businesses.
“Every closure carried out today should have come only after the Bureau had extended assistance, explained the taxpayer’s obligations, and provided every reasonable opportunity to comply,” Mendoza said. “Only after those efforts have failed does enforcement become necessary.”
The compliance-first strategy builds on the C.H.A.T. Drive, launched in February, under which BIR personnel visit businesses to counsel, help and assist taxpayers before enforcement measures are pursued.
The bureau also reminded online sellers that they are covered by Oplan Kandado and must comply with registration, invoicing, filing and tax payment requirements. Where allowed by law, the BIR may also seek online takedown measures against digital businesses that repeatedly ignore tax rules.
Mendoza said Oplan Kandado is a year-round campaign aimed at encouraging voluntary compliance while ensuring deliberate tax violators face appropriate enforcement.
