THE DEPARTMENT of Finance (DoF) aims to finalize its planned excise stamp scheme for alcohol products by January, and expects the system to be implemented by mid-2018.
Finance Undersecretary Antonette C. Tionko said that the Internal Revenue Stamp Integrated System (IRSIS) for alcohol products is currently being reviewed, with rules to be issued in January.
“The issuance is January 2018. But (the implementation) is middle of the year, so the manufacturers will be given sufficient time to re-engineer their products to match the design of the stamp,” she said.
“The alcohol system is being worked on right now… there’s a (memorandum of understanding) and terms of reference that are now being finalized. The target is January,” she told reporters last week at the Finance department headquarters.
The alcohol IRSIS was planned by the previous government in 2015.
Ms. Tionko said that the Finance department is currently consulting with stakeholders regarding the design of the stamps, the size, the point of payment for the excise tax, as well as possible exemptions.
Ms. Tionko said that the alcohol stamps are more complex compared to the cigarette tax stamps, due to the various tax rates for alcohol products.
Alcohol products taxed by the government include distilled spirits, wines, and fermented liquor.
Ms. Tionko added that the government-owned APO Production Unit will be supplying the alcohol stamps.
In January, the DoF will roll out the new IRSIS for cigarettes. The stamps will come with more security features amid the proliferation of fakes earlier this year.
The Finance department aims to collect P143.5 billion from so-called sin taxes this year.
As of end-July, the DoF said that it collected P73.28 billion in sin taxes, up 8.67% from the same period last year. – Elijah Joseph C. Tubayan
