THE Department of Finance (DoF) said the Bureau of Internal Revenue (BIR) fell “a little short” of its target revenue collection for the first half amid slow economic growth.

The BIR collected P1.07 trillion in taxes from January to June, which is 95% of the target for the period, Finance Secretary Carlos G. Dominguez III said on Thursday.

“You have to remember, the growth in the economy was a little short of our target. So normally, because it’s short, the BIR collections are also expected to be short. But given the conditions, they actually did quite well,” Mr. Dominguez said on the sidelines of the BIR’s 115th anniversary celebration on Thursday.

The economy grew 5.6% in the first quarter, its worst performance in four years. The first-quarter outcome was lower than the 6.3% in the preceding quarter and 6.5% in the same period in 2018.

The government operated on a re-enacted 2018 budget from the start of the year until April 15, when President Rodrigo R. Duterte signed the latest general appropriations into law, but vetoed P95.3 billion in appropriations that he said were not in accordance with his administration’s priorities, slashing this year’s national budget to about P3.662 trillion.

The tax bureau, which makes up about three-fourths of total government revenues, set a P2.33-trillion collection goal for 2019.

In its medium-term program, the Development Budget Coordination Committee (DBCC) set a P2.576-trillion revenue target for the BIR next year.

Asked if he is confident about reaching the 2020 collection goal, BIR Commissioner Caesar R. Dulay told reporters in an ambush interview at the same event: “Of course, sasabayan lang namin ‘yung ekonomiya.” — BML

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