THE government is losing about P145 billion, or 1 percent of the country’s gross domestic product (GDP), in potential annual revenues from fuel taxes, which can be plugged by adjusting excise taxes and indexing them to inflation, the Department of Finance (DoF) said.

In a statement on Wednesday, Finance Undersecretary Karl Kendrick Chua said the government wants the fuel tax adjustment included in congressional proposals to lower personal income tax (PIT) rates. Direct cash transfers will be given to “vulnerable sectors” to offset the impact of higher tax rates, he said.