So it looks like next year’s oil price hike might still be a go.
According to a report by GMA News, the Duterte administration’s economic advisers have done a 180 on its recommendation to suspend the increase of excise taxes on oil for 2019.
Under the second phase of the Tax Reform for Acceleration and Inclusion (TRAIN) law, an additional P2 per liter is scheduled to be added to fuel prices next year. Department of Finance secretary Carlos Dominguez announced in October that this would be suspended. This might no longer be the case.
“The Development Budget Coordination Committee (DBCC), in a special meeting, has decided to recommend the continued implementation of the second tranche of excise taxes in petroleum products under Republic Act 10963 or the Tax Reform for Acceleration and Inclusion law,” Dominguez said in a press conference held earlier today.
So, what gives? Why the sudden change of heart? According to the agency, it’s because of a decrease in global oil prices and price rollbacks on fuel products over the past few weeks.
Damn. Just when you thought we were in the clear for 2019. This is a developing story, so keep your eyes peeled for further updates.