The Committee received a presentation from Senate Tax Study and Research Office –Indirect Taxes Director
Ms. Vivian Cabiling on the status of and updates on the Automotive and Petroleum Taxes, discussing the
salient features of and comparison of the House and Senate versions on the provisions, and with CAMPI/AVID
proposals on the tax bracketing.
- Excise Tax on Petroleum Products
- Increase excise tax over 3 years
- Remove exemptions on fuels, LPG, banker oil, etc.
- SBN 1408 : Annual increase of 4% beginning CY 2020
- HBN 5636 : suspension of increased rates if Dubai crude oil price > USD 80/barrel
- Excise Tax on Automobiles
- Increase excise tax on automobiles within 2 years
- Delete provision on the indexation of tax brackets
- SBN 1408 : Exemption of purely electric-powered automobiles
- HBN 5636 : Exemption of single cab chassis, hybrid vehicles and purely electric powered automobiles
It was reported that Package 1 of the Comprehensive Tax Reform Program is targeted to take effect January
Other points of discussion were: the European Motor Show 2018, EPBN Automotive Sector Paper, and the EU-Philippines Business Summit 2017.