Pia Cayetano likely to adopt DOF version of higher taxes on liquor

/ 03:28 PM August 21, 2019

MANILA, Philippines—Senator Pia Cayetano said Wednesday that she would likely adopt the proposal of the Department of Finance (DOF) to raise excise taxes on liquor products, which is higher than those recently approved by Congress.

Cayetano chairs the Senate committee on ways and means, the panel in charge of tackling tax-related measures.


“I have not adopted anything yet but I have an open mind to go towards the version of the DOF,” Cayetano said during the Kapihan sa Manila Bay.

The House of Representatives on Tuesday passed on third and final reading House Bill No. 1026 which imposes higher taxes on liquors, wines, beers, heated tobacco, and vape products.

READ: House OKs bill hiking taxes on alcohol, e-cigar, vape products on final reading


Under the bill, distilled spirits such as brandy, gin, and rum will be slapped a 22-percent ad valorem tax and a P30 specific tax per proof liter starting this year, which will increase by P5 annually until it reaches P45 in 2022. By 2022, the hike will be 7 percent each year.

But the DOF said it will only gain only about P17 billion, nearly half of the P33.5 billion under its proposal.

The DOF is seeking to increase sin taxes to help fund the government’s programs under the universal health care law.   /muf

Read Next
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Alcoholic Beverages, Local news, Nation, national news, news, Philippine news update, Pia Cayetano, Senate, Taxes, Tobacco
For feedback, complaints, or inquiries, contact us.

© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.