The Philippine Tax Performance Slide Presentation.pptx

Public Fiscal Management

1. THE PHILIPPINE TAX PERFORMANCE Maria Teresa Tampis-Cornel

2. Philippine’s Tax Revenue: % of GDP from July 1, 2018 – March 1, 2021

3. Philippine Tax Revenue Performance as summarized by NTRC In Personal Income Tax Collection from personal income tax continuously increased except in 2001 and 2009 The bulk of the personal income tax collection is contributed by compensation income earners, sharing more than 80% of the total personal income tax, on average In Estate and Donors Tax Collections from both estate and donor’s taxes increased significantly beginning 2012, with estate tax hitting P2 billion and donor’s tax hitting P1 billion in tax collection In Value Added Tax A big jump in VAT collection is seen in 2006 due to the passage of RA 9337 which increased the VAT rate from 10% to 12% Tax effort doubled from 2.17% in 1990 to 4.28% in 2015

4. Philippine Tax Revenue Performance as summarized by NTRC In Excise Tax on Petroleum A sharp increase in collection is seen in 1997 due to RA 8184 which increased the excise tax rates on refined petroleum products. In 2006, collection began declining because of the reduction of the excise tax rates on naphtha and regular gasoline and imposition of zero rates on kerosene, diesel and bunker fuel oil under RA 9337 In Excise Tax on Automobile After reaching a high of P6 billion in 1996, the excise tax collection on automobiles is in a downward trend Starting 2010, collection hit at least P2 billion

5. National Government Deficit Full-Year Shortfall at 7.63% of GDP Revenue Performance 87.69% or P2504.4 Billion was generated through tax collection Year Deficit 2019 P660.2 B 2020 P1,371.4 B Year Revenue 2019 P3,137.5 B 2020 P2,856.0 B

6. Bureau of Internal Revenue Net Collection Bureau of Customs Revenue Year Net Collection 2019 P2,175.6 B 2020 P1,951.0 B Year Revenue 2019 P630.3 B 2020 P537.7 B

7. Bureau of Treasury Income Collection Other Non-Tax Revenues Year Income Collection 2019 P146.5 B 2020 P219.7 B Year Revenue 2019 P295.1 B 2020 P131.9 B

8. Expenditure Interest Payments Year Disbursement 2019 P3,797.7 B 2020 P4,227.4 B Year IP 2019 P360.9 B 2020 P380.4 B

9. Primary Surplus/ (Deficit) Fiscal Indicators Year Surplus/ (Deficit) 2019 (P299.4 B) 2020 (P991.0 B) Fiscal Indicators FY 2019 FY 2020 Revenue Effort 16.08% 15.89% Tax Effort 14,49% 13.93% IP as % of Expenditure 9.5% 9% IP as % of Revenue 11.5% 13.32%