BUKIDNON NEWS – The Bureau of Internal Revenue (BIR) has issued revenue regulation 17-2012 dated December 21, 2012 in relation to Republic Act 10351 or An Act Restructuring the Excise Tax on Alcohol and Tobacco also known as Sin Tax bill.
The controversial Sin Tax Bill means higher tax rates on tobacco and alcohol products.
For distilled spirits (alcohol), the excise tax rate, based on the net retail price per proof, is 15 percent from Jan. 1, 2013 until Jan. 1, 2014. The excise tax rate, however, will increase to 20 percent by January 2015 onwards.
For fermented liquor including BEER, the excise tax rate is Php 15.00 PER LITER but this is only applicable to products whose net retail price per liter of volume capacity is P50.60 or less. This new tax rate is effective January 1, 2013. The excise tax rate will also increase in 2014 onwards. Even higher excise tax rates will take effect every year onwards.
For cigarettes packed by machine and with a net retail price per pack of P11.50 and below, the new tax rate is P12 per pack. This is effective January 1, 2013. The new excise tax rate will increase to P17 per pack in 2014 and will increase even more onwards.
Do you have any thoughts/reactions about this? If you’re a smoker, will you try to quit now because of the higher sin taxes? Or if you’re a frequent alcohol or beer drinker, will this not stop you?
Share your thoughts below