BIR collections reach P828 billion, exceeds 5-month target by 3%

MANILA, Philippines — Collections of the Bureau of Internal Revenue (BIR) reached P827.91 billion in the first five months, 3.1 percent higher than the P803 billion target for the period, preliminary data from the agency showed.

Based on the BIR’s latest collection performance report, this was also 14.76 percent higher than the actual collection for the same period last year, which amounted to P721.40 billion.

For May alone, the bureau’s collection reached P172.21 billion, surpassing the P166.75 billion goal by 3.28 percent.

It was also 8.53 percent higher than the P158.68 billion generated in the same month last year.

The BIR is the biggest tax collecting arm of the government, traditionally contributing 80 percent of the government’s revenue.

From January to May, P543.55 billion of the agency’s collection was gathered by the Large Taxpayers Service (LTS), while P266.91 billion came from revenue regions.

Non-BIR operations—which include tax on interest and documentary stamp tax on government securities—accounted for the remaining P17.45 billion.

By types of taxes, the BIR said P450.40 billion of its collection as of May came from income taxes. The amount was 5.56 percent above the P426.69 billion target, and 3.45 percent higher than last year’s level of P435.39 billion.

Value-added taxes (VAT) contributed P150.61 billion to total revenues, 17.91 below target, but 1.77 percent higher than last year’s results.

Excise tax collections as of end-May jumped 80.79 percent from P71.97 billion to P130.12 billion, exceeding the target of P103.15 billion by 26.14 percent.

Percentage taxes during the five-month period reached P36.70 billion, while  other taxes amounted to P60.08 billion.

Economic managers have earlier attributed the increase in revenue to the implementation of the Tax Reform For Acceleration and Inclusion (TRAIN) Act.

Internal Revenue commissioner Caesar Dulay also cited the collection efficiency of revenue personnels.