By Junex Doronio

MANILA — Apparently in its bid to get additional revenues, the Department of Finance (DOF) under the new leadership of Secretary Ralph Recto is now eyeing pickup trucks to be subjected to excise taxes.

Finance Assistant Secretary Karlo Fermin Adriano noted that pickup trucks were granted special tax treatment under the TRAIN (Tax Reform for Acceleration and Inclusion) Law for their utility among small business owners and professionals in their livelihood.

“However, the Department of Trade and Industry observed that manufacturers modify pickup trucks to serve as passenger, leisure, or sports utility vehicles,” Adriano said before a Senate hearing on Monday.

It was learned that vehicles are taxed based on price under the TRAIN Law. Automobiles worth up to P600,000 are taxed 4 percent of their price, 10 percent for automobiles priced higher than P600,000 but below P1 million, and 20 percent for cars priced above P1 million but below P4 million. Cars worth P4 million or higher are slapped with a 50 percent tax.

There were proposals in Package 4 of the Comprehensive Tax Reform Program to remove pickup trucks from the exemption of excise tax on automobiles.

(el Amigo/MNM)

MANILA — In a ceremonial event held at the Department of Finance (DOF) office in Manila on Monday, January 15, 2024, former Finance Secretary Benjamin Diokno officially handed over the reins of the DOF to the newly appointed Finance Secretary, Ralph Recto.

During the turnover ceremony, Diokno commended Recto’s track record as a seasoned policymaker and patriot, citing his pivotal role in sponsoring significant economic and tax reforms that positively impacted the country’s growth. Diokno expressed confidence in Recto’s ability to handle the demands of the post, emphasizing his familiarity with hard work, tough decision-making, and consensus-building.

Recto, in response, lauded Diokno for his service and expressed optimism about his continued contributions to the nation as a monetary board member of the Bangko Sentral ng Pilipinas. Recto highlighted the skilled team within the DOF, its attached agencies, and bureaus, stating that he draws reassurance from their collective talents.

“I am not alone in this journey. I am surrounded by a team of highly talented and competent individuals within the DOF, its attached agencies, and bureaus, all equipped with the necessary skills to navigate the challenges we face today and those that await us in the future,” he remarked.

Recto also conveyed his eagerness to tap into the wisdom of his predecessors and expressed confidence in overcoming challenges to fulfill the President’s vision outlined in the national development plan. He emphasized the importance of increased effort, sincere dedication, rethinking approaches, and innovating governance.

The turnover ceremony was attended by key officials, including DOF Undersecretaries and Assistant Secretaries. Following the formalities, Recto commenced a series of briefings with the heads of DOF offices, and he is scheduled to engage with heads of the DOF’s attached agencies and bureaus throughout the week.

(el Amigo/MNM)

By Liezelle Soriano

MANILA — Department of Finance Secretary Benjamin Diokno has expressed confidence that President Ferdinand “Bongbong” Marcos Jr. is likely to sign the 2024 P5.7 trillion national budget prior to his scheduled trip to Japan from December 16 to 18.

Diokno, responding to queries about the timing of the budget approval, stated, “Malamang,” indicating the probability of the budget signing before the President’s departure. He further explained, “I was talking to the liaison officer. The budget has been approved, and they are set to convene a conference committee by December 1st. There is ample time before the President leaves.”

The government’s 2024 budget, also referred to as the proposed General Appropriations Act, received approval from the House of Representatives during its third and final reading in late September. However, a limited number of House leaders were initially informed about the reallocation of surveillance funding.

Following Senate approval of the proposed budget, both chambers will convene at the bicameral conference for the finalization of the bill. Upon Congress’s approval and ratification, the bill will be forwarded to Malacañang for the President’s signature.

(ai/mnm)