REVENUE targets have been revised in line with changes to the government’s growth and fiscal assumptions, with the Bureau of Internal Revenue (BIR) now expected to collect less and the Bureau of Customs (BOC) tasked with raising more.
Under the updated fiscal program approved by the Development Budget Coordination Committee (DBCC) last month, the BIR has to collect P3.393 trillion this year, down from P3.43 trillion previously.
The BOC’s target, meanwhile, was raised to P1.011 trillion from P1.003 trillion.
The overall revenue target for 2026 was cut to P4.807 trillion from the previous P4.823 trillion.
“We have recalibrated our fiscal targets to ensure strategic, growth-supportive fiscal consolidation,” economic managers said in a joint statement released late on Wednesday.
“These revised targets underscore our commitment to sustaining the government’s crisis response while supporting recovery and long-term economic resilience,” they added.
The DBCC now expects tax collections to reach P4.442 trillion this year, lower than the previous forecast of P4.473 trillion.
The weaker tax take outlook will be partly offset by an increase in projected non-tax revenues, which are now expected to hit P365.1 billion instead of PP349.9 billion.
For next year, revenues are projected to increase to P5.205 trillion, hit P5.52 trillion in 2028, P5.99 trillion in 2029 and P6.52 trillion in 2030.
“This will be supported by the full implementation of tax policy reforms,” the economic managers said.
These include the VAT on Digital Services Act, Create More law, Capital Markets Efficiency Promotion Act, the new Mining Fiscal Regime as well as continued improvements in tax administration, digitalization and enforcement.
“While external developments continue to pose risks to economies around the world, the Philippines remains well-positioned to respond through sound fiscal discipline, evidence-based policymaking, and sustained investments in the country’s long-term development priorities,” economic managers said.
“The DBCC will continue to closely monitor domestic and global developments and take timely, data-driven policy actions as necessary to preserve macroeconomic stability, protect the welfare of Filipinos, and sustain economic growth,” they added.
During last month’s review, the interagency body cut the 2026 economic growth target to 3.5-4.5 percent from 5.0-6.0 percent previously and set a 5.0- to 6.0-percent goal for 2027 to 2030 from 5.5-6.5 percent (2027) and 6.0-7.0 percent (2028-2030).
Socioeconomic Planning Secretary Arsenio Balisacan said the revisions were prompted by a sharp slowdown in the first quarter, the lingering impact of last year’s massive corruption scandal and the energy shock caused by the war in the Middle East.
