The German-Philippine Chamber of Commerce and Industry (GPCCI) welcomed the Bureau of Internal Revenue’s decision to temporarily suspend all field audits, following concerns raised by the business community.
Finance Secretary Frederick Go and BIR Commissioner Charlito Mendoza announced the suspension earlier this week under Revenue Memorandum Circular 107-2025. It covers Letters of Authority, Mission Orders, and other audit operations in all BIR offices, including those handling large taxpayers, regional and district offices, VAT audits, and special intelligence divisions. Exceptions are limited to urgent or legally mandated cases.
The suspension is intended to allow a review of audit procedures and safeguard taxpayer rights.
In a statement, the GPCCI said the move shows the government’s commitment to transparency and fairness in tax administration—issues that German companies frequently cite as concerns.
In the chamber’s November 2025 AHK World Business Outlook Survey (November 2025), investors identified unclear audit procedures and inconsistent guidance as among the top risks to doing business in the Philippines.
“Transparent and predictable audit procedures are vital to sustaining investor confidence,” the GPCCI said. “German businesses operating in the Philippines consistently highlight the importance of clear, stable, and well-interpreted tax rules, especially in areas that affect cross-border operations and intercompany services.”
The group added that recent debates over certain tax issuances highlight the need for consistent guidance and stronger consultation with stakeholders. Addressing these issues, it said, would help build trust in the country’s regulatory framework and improve tax administration.
GPCCI said it is ready to work with government agencies on reforms that strengthen governance, support investor confidence, and boost the Philippines’ competitiveness as a destination for trade and investment.
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