BIR Cebu inches closer to 2014 revenue target

CEBU, Philippines - The Bureau of Internal Revenue in Cebu is now close to achieving its revenue collection target for this year, projecting that it may even exceed its goal.

Director Hermeno Palamine of BIR-13 hinted the local bureau was able to achieve its November collection target, which is 14.75 percent higher compared to its target revenue in the same month last year.

The agency declined to release official figures yet as it is still validating them.

Rosa Maria Rubin, Collection Division OIC-assistant chief, disclosed that from January to November this year, they have already collected more than P19 billion, already close to its P20.9 billion target this year.

“It doesn't really matter whether you exceed or not sa monthly collection, as long as you hit your yearly target,” Rubin told The FREEMAN in an interview.

She also reported the agency’s October collection surpassed its monthly target by 4.97 percent to P1.68 billion, higher than its P1.6 billion goal.

Of the five revenue district offices of BIR-13, she noted Cebu City North District has always been the top performer in terms of meeting or even exceeding revenue targets. Other RDOs include Cebu City South District, Talisay City, Tagbilaran City and Mandaue City.

“If you compare the economy of all districts in Cebu province including Tagbilaran (Bohol), Cebu South District which includes Talisay is really incomparable to Cebu North including  Mandaue,” she explained. “The economic activities in the place affect the collection.”

Income taxes account for the big share of revenues collected by BIR, followed by value-added, excise and percentage taxes.

From January to October 2014, Cebu City North’s collection rose by 2.95 percent to P7.18 billion, higher than its P6.98 billion goal.

Talisay City, on the other hand, posted the lowest collection of P1.23 billion which is lower than the P1.39 billion target, leaving a deficit of -11.83 percent. It has to collect P165 million to achieve its goal.

Rubin explained the transfer of Talisay’s major taxpayers to the Large Taxpayers Division affected the RDO’s collection. LTD, which is under the national BIR, caters to companies and individuals who are paying big taxes. Power firm Visayan Electric Company and San Miguel Corp. are two of Cebu’s large taxpayers.

Furthermore, Mandaue City collected P5.4 billion during the three quarters, surpassing its P5.28 billion target by 2.32 percent.

Cebu City South also recorded a -2.19 percent deficit in its three-quarter revenues, having collected P2.14 billion -- lower than its target of P2.19 billion. The district needs P48 million to achieve its target.

Tagbilaran City collected taxes amounting to P1.34 billion which is lower than its P1.44 billion target during the 10-month period with a deficit of -7.03 percent.

Although some district offices failed to meet their monthly revenue goals, Rubin noted targets have actually increased by 20 percent every year. — Carlo S. Lorenciana (FREEMAN)