FILE

If you think you can get away with using or selling fake PWD IDs for discounts, think again. The Bureau of Internal Revenue (BIR) has had enough of this abuse and is launching a nationwide crackdown to stop the growing misuse of benefits intended for persons with disabilities (PWDs).

BIR Commissioner Romeo D. Lumagui Jr. didn’t mince words:
“People who sell and use fake PWD IDs are not only committing tax evasion, they are also disrespecting legitimate and compliant PWDs. The discount given by law to PWDs is for the improvement of their well-being and easing of their financial burden. It is not some common discount card that is accessible to the general public. Expect the BIR to run after fake PWD ID sellers and users.”

How Big Is the Problem?

In a recent Senate probe, it was revealed that this “fake PWD ID” scheme has cost the government a jaw-dropping ₱88.3 billion in revenue losses. These fake IDs, widely sold online and offline, are being used to illegally claim VAT exemptions and 20% discounts meant exclusively for individuals with legitimate disabilities under Republic Act No. 7277 (amended by RA No. 10754).

The law is clear: these benefits exist to make life easier for those who truly need it. It’s not a loophole for dishonest individuals to exploit.

Why It Matters

The abuse of fake PWD IDs doesn’t just hurt the government’s tax collections—it hurts legitimate PWDs, businesses, and the economy. Imagine businesses losing revenue, honest taxpayers shouldering the burden, and genuine PWDs being scrutinized unfairly because of fraudsters gaming the system.

This isn’t just about numbers—it’s about fairness.

BIR’s Game Plan: Tightened Monitoring and Audits

To put an end to this scheme, the BIR is stepping up its efforts:

• Tax Audits: Businesses will now be required to keep strict records of sales to PWDs, including ID numbers, type of disability, and the discounts or VAT exemptions applied.

• Validation of IDs: Any suspicious PWD ID numbers on records will be cross-checked with official data from the Department of Health (DOH) and the National Council on Disability Affairs (NCDA). Fake IDs won’t just be ignored—they could trigger hefty penalties and deficiency VAT charges with interest.

• Collaboration with Other Agencies: The BIR is coordinating with government agencies to ensure tighter monitoring and enforcement.

Businesses, take note: If you accept fake PWD IDs, you could be held accountable, too.

The Call to Action: Stop the Abuse

This issue hit a turning point during the Senate’s recent public hearing on Senate Resolution No. 1239, where the effects of fake PWD IDs on businesses and government revenues were brought to light. The message is clear: selling or using fake PWD IDs must stop.

The BIR’s intensified crackdown is not just about recovering lost taxes—it’s about protecting the integrity of the system and ensuring that PWD benefits go to those who truly deserve them.

Commissioner Lumagui and the BIR are ready to enforce the law, but the fight against fake IDs also calls for public cooperation. If you know someone selling or using fake PWD IDs, think twice. Abusing the system for short-term gains comes with long-term consequences—for individuals, businesses, and society as a whole.

It’s time to respect legitimate PWDs and their hard-earned rights.