Tax collectors

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December 19, 2025 | 12:00am

Even in Biblical times, tax collectors are despised and seen as dishonest, corrupt and even traitors for helping the Roman conquerors. They are put in the same class as prostitutes. But Jesus made it clear that tax collectors are not hopeless and unlike the hypocritical religious leaders, may enter heaven.

The apostle Matthew was a tax collector. Jesus called him with a simple, direct command: “Follow me,” while Matthew was at his tax booth; without hesitation, Matthew immediately left his lucrative racket, and followed Jesus. He ended up writing one of the books of the New Testament and became a saint of the Church.

Then there is Zacchaeus, who, because he was short, climbed a tree to get a better view of Jesus who was passing by. Jesus called him down and told him he will dine in his house. Right then and there, Zacchaeus repented and promised to pay back those he cheated four times the value of what he took from them.

So, maybe the tax collectors of our time at the Bureau of Internal Revenue are not totally hopeless. Maybe with the right leadership who also shows them the right example, their souls need not burn in hell.

Now is their chance. The Commissioner, based on his reputation, appears to be upright. He seems to have the right intentions in cleaning up the BIR. But whether he will be able to do it in the atmosphere of corruption prevailing in the entire government is another thing. He needs miracles. He needs our prayers. A priest should probably first exorcise the BIR offices and its people of evil spirits.

The BIR is populated by people with little or no moral values and are easily swayed by the prevailing kalakalan of corruption. It supposedly starts at the top. Those in direct contact with the people are supposedly given a quota to collect from tax payers that’s on top of what goes to the government.

Our tax collectors are very powerful. They can make things very difficult for people who reject their demands for bribes. No matter how honest a taxpayer’s book of accounts are, his tax due is what the tax collector says it is. There are arcane tax rules that no one outside of the BIR knows.

Their favorite victims are the small to medium scale entrepreneurs. These are small businessmen with limited capital. Tax troubles take time and money away from the business. Unless the small businessman has a politician friend in high places, he must pay what the tax collector is demanding.

Bad news for a taxpayer is getting a Letter of Authority or LOA. That authorizes the examining tax agent to go through a taxpayer’s books and demand a bribe. You know it is a bribe because it is demanded in cash with only a small portion given an official receipt.

I am told that BIR officials are the best customers for residential safes where they keep their cash loot. Kidnap- for-ransom gangs know this and BIR officials are their favorite victims because they have a lot of cash at home and are not likely to complain to the police.

The abuse of the LOA has reached a level that has become as scandalous as the abuse of the budget for flood control projects. So now we have senators and congressmen denouncing corruption at the BIR to a point that BBM had to relieve a close family friend he appointed as commissioner and name a new one.

Now that the use of LOAs is suspended and the authority must only come from the commissioner, tax examiners can perhaps use their time going through the books of all DPWH contractors, particularly those publicly exposed to be involved in ghost projects.

The BIR can also work with the Ombudsman to compare SALNs of public officials with their income tax returns. Any discrepancy can be used to immediately forfeit assets in favor of the government. No need to wait for the Sandiganbayan to complete the trial. It may take a corrupt BIR examiner to catch a corrupt DPWH district engineer.

But is BBM and the new commissioner serious? If they are, there are some operational reforms they must consider. Current laws and administrative procedures are obviously inadequate.

  I saw an open letter to BBM posted in Linked-in from Mon Abrea, a tax policy expert who has written a book on tax reform, anti-corruption and OECD-aligned global standards. He wrote a lot of ideas and I will just focus on one for now.

Abrea observed that “Across the world, countries that have successfully curbed corruption, expanded fiscal space and accelerated inclusive growth did so by confronting illicit wealth head-on while easing the burden on ordinary taxpayers and MSMEs. The Philippines can — and must — do the same.”

Abrea’s first suggestion is lifting bank secrecy. No serious anti-corruption campaign can succeed while bank secrecy shields unexplained wealth, he writes.

“Globally, tax evasion is treated as a predicate offense to corruption. In countries like Singapore, South Korea, the UK and members of the OECD, tax authorities routinely access financial data to investigate illicit enrichment, resulting in convictions, asset recovery and lifetime bans from public office.”

Abrea wants bank secrecy lifted for public officials, political dynasties, their family businesses, campaign donors and government contractors, beginning with those implicated in the flood control scandal.

I am not sure that a new law is needed to do this to cover public officials. Former Senate president Frank Drilon once told me that there is a waiver incorporated in the SALN.

Anyway, tax evasion cases should be immediately filed against officials with unexplained wealth. Those convicted should be perpetually disqualified from public office because tax evasion is a crime involving moral turpitude.

Abrea thinks “this single reform will do more to restore public trust than any press statement or slogan.”

More on Abrea’s other suggestions in the next column.

Boo Chanco’s email address is [email protected]. Follow him on X @boochanco