Manila representative Rolando Valeriano on Wednesday, Aug. 13, called on the Bureau of Internal Revenue (BIR) to go after and close illegal online gambling and betting operators, citing their violations of the National Internal Revenue Code as grounds for prosecution for tax evasion.
In a statement, Valeriano said these operators, which are already operating outside the law, can be penalized for undeclared or under-declared income, in addition to being shut down for engaging in unauthorized gambling activities.
“We are undeterred in our crusade to ban online gambling,” he said, adding that recent remarks from Pres. Ferdinand R. Marcos Jr. and his economic advisers reflect the legal constraints the executive branch faces under current laws.
Valeriano noted that while Marcos suspended e-sabong in December 2022 through Executive Order No. 9, the measure cannot permanently ban the practice since it is not a law.
He pointed out that most existing gambling regulations predate the rise of online technologies and are focused on venue-based operations.
Bills have been filed in the House of Representatives to directly address online gambling, a relatively new phenomenon in the country’s legal landscape. Valeriano said there are ways to replace the estimated ₱50 billion in potential revenue losses should online gambling be banned.
The lawmaker stressed that current tax regulations already cover all online businesses, including online gambling, and can be enforced on taxable entities and individuals operating in the Philippines.
Valeriano also urged financial technology companies to avoid enabling online gambling activities, saying that “financial inclusion also means not being direct and indirect parties to the economic and social calamities” linked to such operations.
He further reminded the Bangko Sentral ng Pilipinas that Filipino gamblers, especially younger ones, are adept at circumventing restrictions such as minimum bet limits, making such measures insufficient to address the problem.
