Updated
By Jun Ramirez
Retail prices of diesel
and other oil products will go up ranging from P1 to P1.50 per liter starting
January 1, 2020, with the scheduled upward adjustments of the excise tax.
The Bureau of Internal
Revenue (BIR) said the new tax schedule covered the third and final round of
excise tax increases on petroleum under Revenue Regulations No.2-2018 which
implemented Section 82 of the Tax Reform for Acceleration and Inclusion (TRAIN)
Law.
The BIR, however,
advised oil companies, as well as gas station operators, to consume first their
old inventories before applying the new rates.
Under the law, gasoline, kerosene, liquefied petroleum gas (LPG) and
lubricating oils will be increased by at least P1 per liter.
Diesel fuel price will go up by P1.50 per liter.
Diesel fuel price will go up by P1.50 per liter.
Accordingly, the tax
rates for other oil products will also be revised upward by P1.
These included naphta,
asphalts, denatured alcohol, and processed gas, locally produced or imported
oils previously but subsequently reprocessed and refined.
The last tranche of
TRAIN brings the excise tax on most products to P10 per liter, or P1 higher
than last year’s total of P9.00.
When the TRAIN was
implemented in 2018, the excise tax rates of the items ranged from P3 to P8 per
liter.
With the imposition of additional P1.50, the effective excise tax for diesel
and bunker fuels are now P6 per liter from the previous P4.50.
The total excise tax on
LPG now stands at P3 per from P2 this year.
The existing tax on
aviation fuel was not touch and remained at P4 per liter.
No comments:
Post a Comment