Tax collections by the Bureau of Internal Revenue (BIR) fell short of the target for August, and although the level rose 8.01 percent year-on-year, the pace of growth slowed sharply from 19.8 percent recorded in July.
Data released by the BIR on Tuesday showed the agency collected P127.56 billion in tax revenues in August, up P9.45 billion from the year-earlier level.
However, the bureau missed its P142.52-billion collection goal for the month, falling short by P14.96 billion or 10.5 percent.
The BIR did not give a direct explanation for the slowdown in August, except to say the second-quarter to June performance was affected by the drop in corporate income as brought about by the congestion at the ports.
A breakdown of the August tax revenue figure shows that collections from BIR operations, or regular tax revenues, reached P125.02 billion, higher by 7.59 percent or P8.82 billion from the amount collected in August 2013.
Non-BIR operations’ collections, such as taxes imposed on government securities sold by the Bureau of Treasury, stood at P2.25 billion, up by 33.29 percent or P636 million from the comparative year-earlier period.
Collections by the BIR’s regional offices rose 10.3 percent to P42.09 billion, or P3.93 billion more than the collections made in August 2013.
The Large Taxpayers Service collected P82.93 billion, higher by P4.89 billion or 6.26 percent than the collections made a year earlier.
Cumulative BIR collections from January to August 2014 reached P890.70 billion, below the year-to-date target of about P973.09 billion.
In a statement, BIR Commissioner Kim Henares said the performance of the BIR in August was affected by the low income tax payments received by the bureau for the second quarter of 2014.
Low income tax payments during the quarter can be traced to the lower corporate income of large corporations, which could also be brought about by the port congestion experienced during the past months, Henares said.
She did not elaborate on how the performance in the second quarter, which ended June, affected the collections in August.
For full-year 2014, the bureau is aiming to collect P1.456 trillion, raising the target amount from the 2013 target of P1.253 trillion by 16.2 percent or P203 billion.