BIR collects P6 B excise taxes from sugar sweetened drinks
The government collected P6 billion in excise taxes from sugar sweetened beverages in the first quarter, the Bureau of Internal Revenue (BIR) reported yesterday.
In an interview, Internal Revenue Commissioner Caesar Dulay said the bureau has collected P6 billion in additional taxes from January to March as a result of the imposition of excise taxes on sugar-laden drinks.
“We collected P6 billion from sugar sweetened beverages,” Dulay said.
Dulay said additional revenue collected from sugar-laden drinks contributed significantly to the first quarter collection of the BIR, which rose 16.81 percent to P422.59 billion from P361.77 billion last year.
“From zero to P6 billion, (it) contributed a lot to the performance,” Dulay said.
This is the first time the government has imposed an excise tax on sugar sweetened beverages.
Under the TRAIN law, beverages using caloric sweeteners and non-caloric sweeteners will be levied a tax rate of P6 per liter of volume capacity. Drinks with high fructose corn syrup will also be taxed P12 per liter.
However, Internal Revenue deputy commissioner Marissa Cabreros said the BIR revenue regulation (RR) containing the implementing rules and regulations involving the excise tax on sugary drinks is still in the approval process.
“The revenue regulation on sugar sweetened beverages is with the DOF. It’s being reviewed,” Cabreros said.
In the meantime, the official said the agency has released BIR excise tax form 2200-S/0605 for companies which will declare their excise tax contributions.
“We have identified the companies, the brands and labels of sugar sweetened beverages, so it’s just a matter of introducing them anew to the excise tax system. They are also learning from us because it’s their first time to be in the excise tax system,” she said.