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World Bank says Philippines needs to widen tax base
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BusinessWorld Online
THE PHILIPPINE government can generate more tax revenues by broadening its tax base, the World Bank said, as the government pushes to expand excise tax coverage.
“What you’d want to see is government reform to broaden the tax base.
The tax hikes are meant to offset revenue losses from the proposed personal income tax relief measures.
Mr. Al-Rikabi said the Philippines could improve the efficiency of its tax collection system, noting that Thailand generates a similar level of tax revenue despite having a lower value-added tax (VAT) rate.
Mr. Al-Rikabi said the country’s tax base can also be broadened by removing ineffective exemptions and using the new revenue for financing social protection programs.