Revenue collection down;
BIR-Capiz blames ‘Frank’

By JEMIN B. GUILLERMO

ROXAS City – The revenue collection in June was also hit by Typhoon “Frank,” revenue collection officials here said.

Revenue Collection Chief Socorro Besa of the Bureau of Internal Revenue (BIR) in Capiz disclosed that their June collection was a little over P31.388 million only, lower than their P40.393-million goal for the month.

One factor for the significant decrease was the devastation brought by the typhoon. Properties and businesses were destroyed.

The implementation of the new rate for tax exemption, particularly for salary and wage earners, was also contributory in the decrease of the revenue collection.

Besa said they expect the downtrend to continue this July.

Recently, BIR-Capiz called on Capiceño taxpayers to declare damages wrought by the typhoon because the declaration is being recognized and allowed by the BIR as extra-ordinary business deductions or losses.

Earlier, President Gloria Macapagal-Arroyo stressed that her decision not to lift the expanded value added tax (VAT) on oil imports was the right thing to do.

She said that "if VAT on oil and power is lifted, how do we replace more than P70 million in revenues, mostly used to fund projects for the poor?"

The President made the statement in response to the calls of her critics for the suspension of the implementation of the VAT, and the scrapping of the Oil Deregulation Law as a means to soften the impact on the people of skyrocketing oil prices.

Meanwhile, Besa revealed that for the first six-month period of the year, the BIR Capiz was able to raise more than P213.592 million in revenues, higher by more than P12.255 million or 6.09 percent compared to the collection in the same period last year. (PIA/PN)