BIR eyes P223 billion from taxes on profits

The Bureau of Internal Revenue (BIR) expects to raise P223.2 billion this year from taxes on net income and profits, data from the Development Budget Coordinating Council (DBCC) show. Last year's collection amounted to P186.4 billion.

The DBCC data also show the following tax revenue targets from net income and profits: P267.04 billion in 2001, P312.02 billion in 2002, P361.3 billion in 2003 and P419.03 billion in 2004.

As percentage of gross domestic product (GDP), the targeted tax revenue collections of BIR will represent about 12.1 percent, 12.7 percent, 13.2 percent, 13.6 percent and 14.1 percent for 2000, 2001, 2002, 2003 and 2004, respectively.

The projected tax revenues from net income and profits for year 2000 are broken down to as follows: corporate income tax, P90.06 billion; tax on treasury bills, P16.94 billion; individual income tax, P87.18 billion; tax on commercial papers, P2 million; tax on bank deposits, P24.63 billion; and capital gains tax, P4.38 billion.

For 2000, the excise tax collection of BIR is expected to reach P63.14 billion.

Of this amount, P12.3 billion will come from alcoholic products; P17.37 billion from tobacco products; P29.67 billion from fuels and oils; P285 million from mining; P3.43 billion from automobiles; P12 million from tobacco inspection fee; and P22 million from miscellaneous taxes.

Collection from sales tax, value-added tax and licenses is expected to hit P91.67 billion this year from about P77.05 billion in 1999.

The P91.67-billion sales, VAT and licenses taxes will come from banks/financial institutions, P10.18 billion; insurance premiums, P1 billion; amusement, P412 million; VAT, P65.6 billion; franchise tax, P1.9 billion; franchise tax, P12.55 billion and percentage taxes with stock transaction tax, P4.89 billion.

Revenues from other domestic taxes is expected to amount to P19.73 billion, of which P16.85 billion will come from documentary stamp tax (DST); P449 million from tax on property; P171 million from travel tax and P2.25 billion from miscellaneous taxes.