National government revenues increased 5 percent in the first 10 months of 2021 to P2.49 trillion from 2.37 trillion in the same period of last year.
Tax revenues rose 9.1 percent in the 10-month period, higher than the 7.4-percent nominal GDP growth in the first three quarters of 2021, according to the Department of Finance.
Bureau of Internal Revenue collections increased 6.8 percent, slower than the 9-month nominal GDP growth because of the closure of a domestic refinery which led to BIR collecting a lower share of petroleum product taxes.
Customs collections rose 17.1 percent as imports recovered. BOC’s collections of P525.4 billion over the period was lower by a hairline than the pre-pandemic collections of 527.7 billion.
“Despite higher fiscal deficit, a strong revenue performance enabled the country to maintain good macroeconomic fundamentals, attain manageable inflation, sustain low interest rates, and keep its investment grade credit rating. These positive developments augur well for a strong economic recovery as the country gradually loosens its quarantine restrictions,” the DOF said.