The Bureau of Internal Revenue (BIR) and the Bureau of Local Government Finance (BLGF) have received instructions from Treasury Secretary Benjamin Diokno on efficient and fair tax collection.
“[I] told them that I consider tax collectors to be essential workers. Revenue is essential to achieving the goals embodied in our medium-term budgetary framework. Therefore, they must collect taxes efficiently and fairly,” Diokno told reporters when asked what his instructions were to the bureau chiefs he met recently.
The head of finance added that digitization is essential for efficient and fair revenue collection because it removes leeway.
The Development Budget Coordinating Committee said the government’s revenue program for this year, which stands at 3.30 trillion pesos, or 15.2 percent of the country’s gross domestic product, will be met through continued application of existing tax laws and administrative reforms, supported by strong economic growth. .
Diokno, for his part, believes BIR will hit its revenue target this year, even though it missed its target for the first half of 2022.
“BIR is slightly behind its target while the BoC (Bureau of Customs) is above its target mainly due to higher oil prices and the depreciation of the peso. BIR officials are committed to improving performance in the second half of the year. I expect this year’s revenue target to be met,” he added.
Bureau of the Treasury data shows that as of the end of May this year, BIR’s total collection of 959 billion pesos exceeded the collection for the same period last year by 9.92 percent, or 86.6 billion pesos. Its goal was to raise 2.43 trillion pesos for the entire fiscal year 2022.