Department of Finance (DOF) Secretary Benjamin Diokno said he expects an improvement in revenue collections in the remaining months of the year amid the more vibrant economic activity during the Christmas season.
Diokno said in a statement the manageable inflation that affected consumer spending in the past months would help the government rake in more revenues.
“This [revenue collection] is expected to increase further in the fourth quarter as government agencies implement catch-up plans,” Diokno said.
“As we enter the fourth quarter of 2023, we expect to see improvement in tax revenue collections as economic activity increases amid the holiday season, while the government further increases its spending,” he said.
“The expected deceleration in inflation for the remaining months of the year could also provide support to consumption, a significant tax base,” he said.
Diokno said the administrative measures by the Bureau of Internal Revenue and the Bureau of Customs would enhance their revenue collections in the remaining months of the year.
These programs include a tax compliance verification drive; the Run After Tax Evaders (RATE); Oplan Kandado; Philippine offshore gaming operator (POGO) task force; strike team; and digital transformation programs of the BIR.
The BIR stepped up its drive to detect and penalize buyers, sellers and certified public accountants (CPAs) using fraudulent invoices and receipts through the Run After Fake Transactions (RAFT) campaign.
The BOC vowed to fully implement the fuel marking program; intensify post-audit clearance of importers; enhance trade facilitation; and strengthen border control.
Meanwhile, the government identified the main challenges to spending such as preparatory activities for procurement, take-up of beneficiaries, seasonality in project implementation, implementation problems and payment issues.
