BIR optimistic of meeting 2011 revenue goal of P940B

The Bureau of Internal Revenue (BIR) on Thursday said reforms in the agency will translate into higher collections and enable it to meet this year’s revenue target of P940 billion. “We will meet the target because we’re filing tax evasion charges… and we have pending tax assessments," BIR Commissioner Kim Henares told reporters. The bureau’s tax assessments run into “billions of pesos." The BIR files one tax evasion case every other week against erring individuals and companies. The final collection figures for January and February are still unavailable but they will be made available on March 15, according to Henares. She remains hopeful that the bureau will achieve its collection targets of P71.9 billion for January and P56.9 billion for February. The BIR missed its collection goal of P860 billion last year. It only collected P822 billion, Finance Department data showed. The BIR and the Bureau of Customs are under heavy pressure to meet their respective targets to help the government contain its budget deficit. This year, the government is hoping that it can contain the fiscal deficit to P300 billion or 3.2 percent of gross domestic product (GDP). The Philippines incurred a budget deficit of P314.4 billion or 3.7 percent of GDP last year, lower than the ceiling of P325 billion or 3.9 percent of GDP. By 2013, the Aquino administration is aiming to trim the fiscal deficit to 2 percent of GDP. — JE, GMA News