CEBU’S business community on Tuesday, Nov. 25, 2025, welcomed the suspension of all Bureau of Internal Revenue (BIR) field audits, saying the move will ease long-standing compliance pressures and allow companies to focus on recovery after recent calamities.
In a statement, the Cebu Chamber of Commerce and Industry (CCCI) described the pause as a “positive and confidence-building step,” particularly for micro, small and medium enterprises.
“At a time when enterprises continue to navigate economic challenges, the suspension provides much-needed operational breathing space and reduces the uncertainties often associated with field audits,” the chamber said.
Lower burden for taxpayers
CCCI said the directive will reduce administrative load on businesses, enabling them to divert time and resources from responding to audits toward core operations, recovery and expansion efforts.
It added that field audits often disrupt business continuity and the pause would help firms — especially SMEs — maintain stability and productivity.
The chamber also said the suspension gives the BIR an opportunity to review and strengthen its audit processes, adopt digital tools and develop more transparent, risk-based mechanisms.
By taking a reform-oriented approach, the Department of Finance (DOF) and BIR are signaling support for a more predictable and business-friendly tax environment, it added.
“The suspension signals a move toward more consistent tax enforcement and reduced discretionary interventions,” CCCI said. “This leads to greater predictability for businesses, improves competitiveness and supports a more stable environment for investment.”
Immediate relief
Mandaue Chamber of Commerce and Industry president Mark Ynoc said the pause is a “very positive and welcome development,” noting that unpredictable issuances of Letters of Authority had for years driven up compliance costs and created uncertainty.
He said the order provides immediate relief for firms of all sizes as they channel resources toward recovery. Cebu is still reeling from a 6.9-magnitude earthquake on Sept. 30, followed by Typhoon Tino on Nov. 4, which left more than 200 dead. Typhoon Verbena struck the province again on Tuesday.
Scope of suspension
The DOF on Monday ordered the immediate and temporary suspension of all BIR field audits and related operations amid complaints over alleged misuse of LOAs and Mission Orders.
Finance Secretary Frederick Go said the pause, coordinated with newly appointed BIR Commissioner Charlito Martin Mendoza, aims to protect taxpayers while the government reviews audit protocols.
“We hear your concerns and are acting on them. Taxpayers deserve fair and honest audits carried out with professionalism and full respect for the rule of law,” Go said.
Mendoza said no LOA or MO will be “created, printed, signed, or served” during the suspension period under Revenue Memorandum Circular No. 107-2025. The order covers all BIR units nationwide, including the Large Taxpayers Service, regional offices and special audit teams.
Only urgent or legally mandated cases will proceed, such as active criminal investigations, one-time transactions, audits nearing prescription, refund claims requiring audit and cases flagged by verified intelligence.
Mendoza also ordered the creation of a Technical Working Group on LOA and MO Integrity and Audit Reforms to review protocols and recommend digital safeguards and uniform standards. / KOC