Finance Secretary Carlos Dominguez III is confident the Bureau of Internal Revenue will achieve its collection target of P2.33 trillion this year following the 96-percent attainment rate in 2018.
The BIR collected P1.96 trillion in 2018, up from P1.78 trillion in 2017.
“I am confident the BIR to get a higher attainment rate this year,” Dominguez said in his speech during the BIR Tax Compliance Kickoff Campaign program held at the Philippine International Convention Center in Pasay City on Friday.
Dominguez said the target could be achieved through the cooperation of taxpayers.
“Voluntary compliance (among the taxpayers) remains the most effective way to collect more taxes,” Dominguez said.
BIR Commissioner Caesar Dulay predicted that with the implementation of the fuel marking program, the agency would fully achieve the P2.33-trillion collection target.
The Finance Department plans to launch this month the fuel marking program to check oil smuggling that is costing the government P27 billion to P44 billion in annual revenue losses.
The Finance Department said the government lost potential revenues of P26.87 billion from smuggled or misdeclared fuel in 2016.
The Asian Development Bank’s estimate was higher at P37.5 billion, while a study commissioned by the local oil industry placed the foregone revenues at P43.8 billion.
The Institute for Development and Econometric Analysis said “smuggled gasoline accounted for an average of 23 percent of gasoline consumption from 2000 to 2006,” while “smuggled diesel accounted for an average of 6 percent.” Julito G. Rada
Dulay said the BIR would focus on law enforcements and strengthen the Oplan Kandado program to raise voluntary compliance among taxpayers.
“We want to expand the tax base… there is a lot of work to do,” Dulay said. “Tax compliance will be pursued vigorously this year,” he said.
Dominguez said the government would heighten alertness against illicit manufacturing activities, and that the Duterte administration would not tolerate illegal cigarette manufacturing. Julito G. Rada
