BIR shuts down 18 POGOs in Cagayan

The Bureau of Internal Revenue (BIR) temporarily closed 18 Philippine offshore gaming operators (POGOs) and their service providers located inside the Cagayan economic zone due to non-compliance to registration permits.
In a statement, the bureau said that these unregistered POGOs had been licensed under the Cagayan Economic Zone Authority (CEZA) for their interactive gaming operations.
However, their failure to register under Section 236 of the Tax Code and the Republic Act (RA) No. 11590 or POGO Law resulted in their closure and their respective support service providers.
POGOs are hiring service providers to directly deal with their online gaming clients overseas — mostly in China, where gambling is illegal.
Dulay added that this should “serve as a deterrent for those who would commit tax violations” as they urge all taxpayers to comply with BIR’s registration requirements.
According to data by the Department of Finance (DOF), 40 Pogos and 168 service providers are registered with the BIR as of end of January.