The Department of Finance (DOF) is expecting the country’s tax collection to recover after the deadline of the filing of income tax returns on June 15.
The government has lost almost Php 100 billion in collections due to the Enhanced Community Quarantine and the changes in deadline. Collected taxes are part of the fund resources being used to respond to the needs of the country amid the COVID-19 pandemic.
However, due to the continuous expenses, the budget deficit has increased to Php 202.1 billion.
Meanwhile, the DOF urges the passing of an affordable economic package law in Congress.
“I am watching closely the deficit. If the deficit estimate is wrong and lower, I will ask for more money but from what we can see this is what we can afford.” DOF Secretary Dominguez stated.
The department has initially pointed out that it is possible for the deficit to increase by 9 percent. If the deficit increases, the Philippines will have a bigger debt to pay.
Report from Naomi Tiburcio
