Fuel products are about to get more expensive as the Philippine government is planning to impose additional taxes on top of the 12% value-added tax (VAT).
According to PhilStar’s report, the additional taxes amounting to Php6 per liter will cover diesel products used by passenger buses and jeepneys, as well as oil products used for cooking, electricity, kerosene and aviation gas. The tax on gasoline will also be raised from Php4.35 to Php10 per liter.
Budget Secretary Benjamin Diokno told ABS-CBN News that the additional taxes would provide the government the additional revenue, which is expected at Php200 billion, to fund infrastructure projects. “There is no excise tax on diesel, though it is subject to the 12-percent VAT like other oil products. I think this should be corrected,” said Diokno.
The Department of Finance (DOF) has already submitted the said tax proposals to the House of Representatives.
Hit the source link below for the full report.