MANILA, Philippines – The government’s main revenue agency collected more taxes in the first quarter but missed its target.
In a statement on Friday, April 19, the Bureau of Internal Revenue (BIR) said its tax collections from January to March reached P244 billion, up 6.6% from P229 billion a year ago.
This is, however, 10% below the P267 billion goal for the quarter.
Of the tax collections during the period, the BIR collected P233.41 billion from BIR operations and P10.65 billion from non-BIR operations.
The large taxpayers’ service, which collects taxes from the country’s biggest companies, grew its collections by 3% year-on-year.
For March alone, collections fell by P340 million to P74.8 billion from P75.2 billion a year ago. BIR Commissioner Kim Henares attributed this to the Holy Week break in March, giving the tax bureau on 3 weeks to collect taxes.
The BIR is tasked to raise P1.254 trillion for the entire 2013. Otherwise, the government may go beyond its budget deficit of P238 billion target for 2013, equivalent to about 2% of the Philippine economy.
Failing to meet revenue targets means the government has to resort to borrowing to finance expenditures for a year. – Rappler.com