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Saturday, March 22, 2025 Vol. 20 No. 161
BIR SETS RECORD APRIL GOAL OF ₱432B, 11% UP A
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By Reine Juvierre S. Alberto
S the government aims to increase tax revenue collections in 2025, the Bureau of Internal Revenue (BIR) has set an ambitious goal of raising a record P432 billion this coming April.
INTERNAL Revenue Commissioner Romeo D. Lumagui Jr., on new revenue sources: “The government is expanding its revenue base with new measures, including VAT on digital services, windfall tax on mining, and tax on single-use plastics.”
NEW TAX MEASURES IN 2025
PANCIT PARADE: PHL TOPPLES CHINA’S RECORD IN GUINNESS NOODLE FEAT! Malabon City’s LGU successfully broke the Guinness World Record for the longest line of noodle bowls on Friday, with 6,549 bowls of Pancit Malabon, each containing 200 grams, surpassing China’s 2019 record of 3,988 bowls with 100 grams. Held at the Malabon Sports Complex, the event saw volunteers meticulously arranging the bowls, while Mayor Jeannie Sandoval personally lined up bowls during the final round. Guinness World Records Japan Adjudicator Sonia Ushirogochi carefully inspected each bowl to ensure compliance with official guidelines. Behind the scenes, cooks and volunteers from various participating outlets worked tirelessly in the cooling area, preparing the beloved Pancit Malabon, a dish that reflects the city’s rich seafood heritage. Top left photo shows a Guinness World Records representative handing over the official certificate to Mayor Sandoval, confirming the city’s successful attempt. BERNARD TESTA VAT on Digital Services Windfall Tax & Royalties on Mining n Tax on Single-Use Plastics n Tax on Financial Intermediaries & Transactions n Corporate Income Tax from CREATE MORE n n
trillion based on the 2025 Budget of Expenditures and Sources of Financing (BESF). The target is higher by 13.36 percent than the P2.851-billion goal in 2024. The 2025 goal for BIR operations amounts to P3.130 trillion composed of existing and new mea-
sures amounting to P3.108 trillion and P21.979 billion, respectively. The BIR aims to raise a total of P1.630 trillion from taxes on net income and profits, P343.103 billion from excise taxes and P710.042 billion from VAT. About P178.464 billion is eyed from percentages taxes and P268.162 billion from other taxes. On the other hand, the new measures expected to generate P21.979 billion consist of VAT on digital service providers, windfall tax on mining, royalty on mining,
single-use plastics, tax on passive income, tax on financial intermediaries, tax on transactions and corporate income tax from CREATE MORE. This also includes prospectively final withholding taxes on interest income, as well as long-term negotiable certificates of deposits. Revenue goal from nonBIR operations is also pegged at P101.916 billion, consisting of final withholding tax and documentary stamp tax on government securities.
DOF ramps up bid to develop PHL voluntary carbon market T
HE Department of Finance (DOF) affirmed its focus on sustainable finance as it ramps up efforts to develop a voluntary carbon market framework to strengthen the Philippines’ climate finance strategy. In a statement on Friday, the DOF said the Interagency Task Force on Sustainable Finance (ITSF), which it is a part of, is creating a policy and legal framework for Carbon Markets on Voluntary Carbon Markets (VCM). Carbon markets are carbon pricing mechanisms allowing governments and non-state actors to trade greenhouse-gas emission credits. Meanwhile, a voluntary carbon market allows companies and governments to buy and sell carbon credits to offset their greenhouse gas emissions. “It is our priority to work in close coordination with other key
BUILDING A VOLUNTARY CARBON MARKET IN PHL
n Led by: Department of Finance & Interagency Task Force on Sustainable Finance n Objective: Establish a legal and policy framework for carbon trading n Purpose: Enable companies & governments to offset emissions through carbon credit trading
government agencies to prepare the necessary institutional arrangements, infrastructure, registry, and robust monitoring, reporting, and verification measures to send clear policy signals to the domestic and international mar-
Finance Undersecretary Maria Luwalhati Dorotan-Tiuseco: “Our priority is to establish a robust voluntary carbon market framework that ensures high-integrity carbon credits and sends clear policy signals to both domestic and international markets.”
ket that we produce high-integrity carbon credits,” Finance Undersecretary Maria Luwalhati DorotanTiuseco said. The DOF added it continues to coordinate with the World Bank in
its technical working group (TWG) on carbon pricing instruments. In designing carbon policy, the DOF said the TWG considers its possible socioeconomic impacts to ensure that the policy will be non-inflationary, conducive for investment and suited for the Philippines. Apart from this, the DOF said the ITSF is also working on Article 6 of the Paris Agreement on “Internationally Transferred Mitigation Outcomes” (ITMOs), allowing countries to collaborate and achieve their nationally determined outcomes by transferring emissions reductions. The DOF also said it has been collaborating with other government agencies and the private sector to develop the Climate Finance Strategy (CFS). This aims to help finance the Philippines’ climate priorities, support its active membership in the Continued on A2
BSP: DIGITAL FRAUD OBSCURES GAINS FROM DIGITAL FINANCE By Bless Aubrey Ogerio
T
HE focus on digital fraud overshadows the real benefits of better banking access and financial growth, the Central Bank chief said on Thursday. Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona Jr. urged the public to embrace digital finance, emphasizing that safeguards are in place to curb fraudulent activities. BSP Governor Eli Remolona Jr.: “We don’t talk enough about “In digitalization, we hear a the ‘boring benefits’ of digital lot about online fraud and scams finance—faster consumption, because they tend to be dramatic better financial access, and new trends. We don’t talk enough opportunities.” about the boring benefits—faster consumption, better financial access, and new opportunities,” Remolona said. While acknowledging that small business owners remain hesiContinued on A2
»WORLD | A13
CHAOS AT HEATHROW
HUNDREDS OF THOUSANDS AFFECTED BY AIRPORT SHUTDOWN FOLLOWING FIRE
PESO EXCHANGE RATES n US 57.1690 n JAPAN 0.3842 n UK 74.1539 n HK 7.3551 n CHINA 7.8859 n SINGAPORE 42.8104 n AUSTRALIA 35.9993 n EU 62.0684 n KOREA 0.0390 n SAUDI ARABIA 15.2414 Source: BSP (March 21, 2025)
AP/KIN CHEUNG
Based on the Revenue Memorandum Order No. 014-2025 issued by Internal Revenue Commissioner Romeo D. Lumagui Jr., the BIR targets to collect P431.946 billion in April—the peak of tax filing season in the Philippines. The revenue goal for April 2025 represents an 11.20-percent increase from the P388.407 billion it set during the same month a year ago. Historically, the month of April accounts for a significant portion of the BIR’s full-year collections, as taxpayers settle their taxes to contribute to the country’s development. The deadline for filing the annual income tax return is April 15. Data from the BIR showed the agency was able to collect a total of P378.521 in April last year, driven by taxes on net income and profit worth P181.484 billion. Breaking down the BIR’s target for April this year, almost half will come from taxes on net income and profit. This amounts to P207.630 billion, 13.03 percent higher than last year’s goal of P183.681 billion. Almost half of the BIR’s target for April will come from taxes on net income and profit amounting to P207.630 billion. This is 13.03 percent higher than last year’s goal of P183.681 billion. This was followed by valueadded tax (VAT) at P124.170 billion and percentage taxes worth P34.777 billion. Further, excise target collection for the month is estimated at P31.027 billion, while other taxes to be generated are pegged at P28.545 billion. Meanwhile, the BIR has set its 2025 full-year target to P3.232