Fuel import duties approach P100B after marking program

fuel import duties approach p100b after marking program - Fuel import duties approach P100B after marking program

DUTIES and taxes collected from imported fuel products hit P99.8 billion as of Aug. 12, counting from September 2019 when the government imposed a marking system on such products, the Bureau of Customs (BoC) said.

The revenue was generated from 11.193 billion liters of marked fuel products, it said.

Diesel accounted for 62% of the total at 6.987 billion liters, followed by gasoline with a 37% share at 4.15 billion liters. The remainder is from kerosene.

Around 75% was generated in Luzon, 20% in Mindanao and 5% in the Visayas, according to a report issued by the Department of Finance (DoF).

In a statement Friday, the bureau said the “program’s strong performance affirms the BoC’s continued commitment to protect the borders and collect lawful revenues for the government.”

The Fuel Marking Program aims to deter oil smuggling by injecting the products with a special dye to signify tax compliance. The absence of the dye is deemed prima facie evidence that the fuel was smuggled.

In February, the DoF estimated that the government can generate P20 billion in additional revenue this year from the fuel marking program.

It estimated that revenue foregone due to oil smuggling was between P20 billion and P40 billion a year. — Beatrice M. Laforga

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