A significant shift has occurred within the Philippines’ revenue collection system. President Ferdinand R. Marcos, Jr. has named Charlito Martin R. Mendoza as the new Commissioner of the Bureau of Internal Revenue (BIR), effectively replacing Romeo D. Lumagui, Jr.
The change in leadership was confirmed by acting Press Secretary Dave M. Gomez, though details surrounding the decision remain closely held. Mendoza’s appointment was officially signed on Wednesday, marking a new chapter for the agency.
Mendoza isn’t new to the inner workings of the nation’s financial landscape. He previously led the Finance Department’s Revenue Operations Group, forging strong working relationships with both the BIR and the Bureau of Customs.
Lumagui’s own ascent was relatively swift. Initially a deputy commissioner when the President’s term began in 2022, he was elevated to BIR chief just four months later, in November of the same year.
This leadership transition arrives at a critical juncture. Lumagui had recently voiced concerns about the BIR’s ability to meet its ambitious P3.219-trillion collection target for 2025, citing emerging economic challenges.
He openly acknowledged a performance shortfall, stating a “recalibration” of the goal was necessary, and that achieving the target would be “quite difficult” given the current economic climate.
Despite a 10.88% increase in collections – reaching P2.32 trillion in the first nine months of the year – the BIR still lags behind its programmed targets. Collections during that period were 2.63% lower than anticipated.
A substantial P897 billion remains to be collected to fulfill the full-year program, placing considerable pressure on the agency and its new commissioner to navigate the evolving economic headwinds.