MANILA -- The Department of Finance is reviewing its recommendation to suspend the second tranche of fuel excise tax increases in January due to falling world crude prices, an official said Tuesday.
The DOF recommended the suspension in October when the price of Dubai crude was above $80 dollars per barrel, but prices have "plummeted" in recent weeks, Finance Assistant Secretary Tony Lambino.
Under the Tax Reform for Acceleration and Inclusion, further increases in the fuel levy could be suspended if Dubai crude exceeded $80 per barrel.
"That is why we need to review that recommendation because oil prices have plummeted essentially over the past few weeks," Lambino told ANC's Market Edge.
"The position of the department is still to find a way to make the suspension happen," he said.
The government has so far collected P66 billion from TRAIN, which also raised duties and cars and sugar-sweetened drinks and lowered personal income tax rates.