By Betheena Unite
Malacañang said Thursday the government is considering reforms in excise and health taxes to recover the ₱66 billion in revenues expected to be forgone under President Ferdinand Marcos Jr.’s proposed tax relief package.
Palace Press Officer and Communications Undersecretary Claire Castro explained that the Department of Finance (DOF) is studying measures that could compensate for the fiscal impact of the relief program.
“Among the possible reforms being considered are changes to excise and health taxes, which could help offset the estimated ₱66 billion in government revenue that may be lost,” she said.
Castro stressed that the amount is significant, noting it could otherwise fund government programs and projects.
She assured that any reforms will undergo careful study to ensure they do not discourage investors and will ultimately benefit the public.
The DOF earlier projected that raising the annual personal tax exemption threshold to ₱350,000 would reduce revenues by about ₱66 billion.
The Palace emphasized that while reforms are being weighed to offset losses, the priority remains delivering financial relief to workers and supporting small businesses through measures such as expanded tax exemptions, lower income tax rates, and MSME relief.
