BIR collection likely short of August target

ABS-CBN News

Posted at Aug 24 2010 05:45 PM | Updated as of Aug 25 2010 01:45 AM

MANILA, Philippines - The Bureau of Internal Revenue (BIR) will likely fall short of its collection goal for August, the Department of Finance said.

The DoF is projecting that the country's main tax agency would only collect P87.09 billion this month, P2.61 billion below its target of P89.7 billion.

BIR Commissioner Kim Henares had said they may not attain collection goals for August and September because of a lot of adjustments at the bureau. But she was optimistic they could meet the full-year target.

"My thinking is there would be a 3-month transition period, you will expect the BIR will have some difficulty," Henares noted.

The BIR, which accounts for over 60% of government income, needs to collect P456.5 billion in the second half of 2010 to meet an upwardly revised collection goal of P869.44 billion for the whole year.

During the first 7 months, the agency was P21.1 billion short of its programmed collection of P488.4 billion.

Henares vowed to make up for the shortfall by further strengthening the Run After Tax Evaders or RATE program. There have been 4 cases filed under this program since July.