A legislative probe has been initiated in the House of Representatives to scrutinize the Bureau of Internal Revenue (BIR) following the agency’s abrupt decision to halt its controversial digital seal mandate for digital workers and e-commerce merchants.
Through House Resolution 1565, lawmakers are pressing tax authorities to account for policy missteps that led to the sudden suspension of the Registration Seal Badge requirement on October 26.
Authored by Kabataan Rep. and Assistant Minority Leader Atty. Renee Co alongside Gabriela Rep. Sarah Jane Elago and ACT Teachers Rep. Antonio Tinio, the measure demands a legislative inquiry to evaluate whether the tax bureau’s regulatory directives are clear, equitable, and protective of the rights of online workers.
Lawmakers criticized tax officials for rolling out the digital enforcement mechanism without conducting preliminary public consultations or evaluating its operational fallout on thousands of independent online service providers, content creators, and small-scale vendors.
“Biglang bawi?” the solon asked, questioning the sudden halt after thousands of workers had already complied.
House members stressed that merely putting the enforcement order on hold does not relieve the tax agency of its duty to explain its regulatory decisions to the public.
“Kaya lalong nakakabahala na matapos ang higit 50,000 na registration, bigla itong binawi ng BIR. Hindi sapat ang bawi, dapat may imbestigasyon pa rin,” Co said.
The congressional review aims to ensure future digital tax regulations establish transparent guidelines that safeguard online livelihoods without imposing arbitrary regulatory changes.