The Bureau of Internal Revenue (BIR) missed the revenue target in the first three months of the year, the Treasury announced over the weekend.
According to the DOF, BIR collections in the first quarter amounted to 485.4 billion pesos, 47.2 billion pesos or 8.9% less than the Budget Coordination Committee’s 532.6 billion pesos. development (DBCC).
First-quarter revenue, however, is still 32.4 billion pesos, 7.2% higher than the 452.9 billion pesos collected by the agency in the comparable period of 2021.
BIR Deputy Commissioner Arnel Guballa attributed the shortfall to businesses using their input VAT credits on purchases made available to them under the Acceleration and Inclusion Tax Reform Act ( TRAIN).
The agency reported a shortfall of 17.4 billion pesos in VAT collections and an additional 9.4 billion pesos in income tax collections for the first quarter of the year compared to targets. set by the DBCC.
The office’s collections from its non-BIR operations for the quarter reached 18.1 billion pesos, bringing its total collection for the quarter to 503.5 billion pesos, up 33 billion pesos or 7.0% over a year.
The BIR is mandated to assess and collect all domestic domestic taxes, fees and charges, and enforce all related forfeitures, penalties and fines. This includes cases decided in its favor by the Court of Tax Appeals and the ordinary courts.
The agency collected 2,086 billion pula in 2021, which is 0.25% more than the collection target and 6.94% more than the 1,951 billion pula collected in 2020. —LBG, GMA News