BIR pursues drive vs untaxed liquor, tobacco
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HE Bureau of Internal Revenue [BIR] continued its relentless campaign against imported liquor and cigarettes which entered the country without paying the correct taxes. On Thursday, BIR conducted its second Nationwide Joint Enforcement Operations on Illicit Cigarettes, Vape, Wines, Distilled Spirits and other excisable articles from regional offices. The raids were conducted in vari-
ous convenience stores and groceries in Cabanatuan City, Nueva Ecija; Bulacan; Camarines Norte; Camarines Sur; Bacolod; Davao City; and the Eastern Visayas Region. The BIR also conducted raids in various parts of Metro Manila such as Caloocan City; Malate, Manila; Quezon City; Pasay; Makati City; and Parañaque City. Earlier, the BIR reported that it increased its collection by 9.94 percent in the first five months of
2023, allowing it to attain its collection target for the period. From January to May 2023, the BIR’s Total Gross Collection stood at P1.056 trillion, which is P95.454 billion more than the tax collections for the same period last year. “With the intensification of the Bureau’s tax enforcement activities, specifically on the campaign against sellers and buyers of fake receipts, we are confident that the BIR can attain, if not surpass, its
annual collection target this year,” Commissioner Romeo D. Lumagui Jr. said in a statement. The BIR also reported that it exceeded its tax collection target by P1.331 billion in the January to May 2023 period. For CY 2023, the BIR’s collection target was set at P2.599 trillion. This target is higher than the CY 2022 actual collection by 10.95 percent or P256.444 billion. Cai U. Ordinario
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Friday, July 14, 2023 Vol. 18 No. 270
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TO CUT POVERTY–EXPERT I By Cai U. Ordinario @caiordinario
F the current administration wants to bring down the country’s poverty rate to single-digit levels, the economy must grow faster—even at double digits, according to the Philippines’s “Prophet of Boom.”
In a recent economic briefing for EastWest Bank, University of Asia and the Pacific [UA&P] Professor and constitutionalist Bernardo M. Villegas said the country needs to attain a GDP growth of 8 to 10 percent in order to bring the poverty rate to single-digit. Based on the Philippine Statistics Authority [PSA], poverty incidence per population was at 18.1 percent while poverty incidence in terms of households was at 13.2 percent in 2021. “GDP growth is not the endall and be-all of economic development. We have to address our biggest challenge, which is poverty eradication. We have the highest rate of poverty still in East Asia. Most of our Southeast Asian neighbors have brought
down their poverty incidence to single digit, anywhere from 1 to 4 percent,” Villegas told the BusinessMirror on the sidelines of the event. “In fact, Malaysia had one year when it had zero percent poverty incidence. Ours is still at 13 to 15 percent. We cannot make a dent on that if we just grow at 6 to 7 percent. We have to grow at 8 to 10 percent which is the experience of the so-called ‘Tigers’ when they were growing,” he added. Villegas said attaining a growth of 6 to 7 percent is already possible for the current administration given the momentum of the economy and the reforms introduced in the past two administrations. See “Faster,” A2
BORACAY AMONG FAVORITE ISLANDS IN THE WORLD FOR ‘23 By Ma. Stella F. Arnaldo
@akosistellaBM Special to the BusinessMirror
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OPULAR publication Travel + Leisure has included Boracay Island in Aklan among its readers’ 25 Favorite Islands in the World for 2023. On July 11, T+L wrote: “More than 7,000 islands make up the Philippines, and Boracay still manages to stand apart from the rest. The tiny island—just 4.5 miles long—is known as ‘the island that never sleeps’ for its parties and nightlife. One T+L reader called the island ‘the best leisure vacation destination.’” The island, world famous for its creamy-white powdery sand, received a reader score of 92.94, putting it in 10th place. Boracay ranked after the Great Barrier Reef Islands in
Australia, the Maldives, Bali in Indonesia, Madeira in Portugal, Phuket in Thailand, Skye and the Hebrides, in Scotland, Koh Samui in Thailand, Dominica in the Caribbean, and Langkawi in Malaysia.
Domestic travelers dominate
According to T+L, close to 165,000 of its readers completed its survey this year, up 25 percent over prepandemic levels. Results for the Favorite Islands survey were based on the following criteria: Natural attractions/ beaches, Activ ities/sights, Restaurants/food, People/friendliness, and Value. “For each characteristic, respondents could choose a rating of excellent, above average, average, below average, or poor. See “Boracay,” A2
Bureau of Internal Revenue (BIR) Commissioner Romeo Lumagui Jr. inspects the sale of excisable goods at a grocery store in Makati City on Thursday, July 13, 2023, as part of a synchronized and nationwide operation targeting grocery stores and marts suspected of selling smuggled goods. The BIR reported surpassing its target collections from January to May, with an impressive year-on-year increase of nearly 10 percent. From January to May 2023, BIR’s Total Gross Collection stood at P1.056 trillion, or P95.454 billion more than the tax collections for the same period last year. Story above, A1 umbrella, “BIR pursues drive vs untaxed liquor, tobacco.” NONIE REYES
BOI bares CREATE import perks rules By Andrea E. San Juan
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@andreasanjuan
HE Board of Investments [BOI] has unvei led t he guidelines on the availment of duty exemption/value-added tax [VAT] and customs duty exemption on importation of capital equipment, raw materials, among others under the Corporate Recovery and Tax Incentives for Enterprises [CREATE] law. The attached agency to the Department of Trade and Industry [DTI] released the rules, dated
June 30, 2023, mandated by Republic Act No. 11534 or the CREATE law. According to the BOI, these guidelines—as enclosed in Memorandum Circular (MC) No. 2023004—are applicable to its registered business enterprises (RBEs). Under the guidelines, importation by RBEs of capital equipment, raw materials, spare parts, or accessories “shall be exempt from customs duty,” but certain conditions are attached to the rule. See “BOI,” A2
PESO exchange rates n US 55.0450 n japan 0.3976 n UK 71.5090 n HK 7.0340 n CHINA 7.6825 n singapore 41.3717 n australia 37.3590 n EU 61.2651 n KOREA 0.0433 n SAUDI arabia 14.6732 Source: BSP (July 13, 2023)