The Finance Department said Monday the low-income group will be safeguarded from any additional tax burden brought about by the proposed tax reform package.
Finance Secretary Carlos Dominguez III said a targeted subsidy program was being drafted by the economic team to shield poor consumers from the government’s plan to adjust excise taxes on petroleum products.
The finance chief said revenues generated from fuel excise tax adjustments would be redirected to those who needed financial aid. “We are currently developing a targeted subsidy plan, similar to that of Indonesia, where the most vulnerable, especially [when it comes] to the increase in transportation costs, will be protected in a manner like that of the 4Ps [Pantawid ng Pamilyang Pilipino Program],” Dominguez said.