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Duterte vetoes provision in new sin tax measure

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By Prince Golez

President Rodrigo Duterte has vetoed a provision in the new sin tax law, requiring the Bureau of Internal Revenue to secure court orders before raids against illegal tobacco operations are conducted.

In his veto message, Duterte said Section 5 of Republic Act 11467 “effectively curtails the power of the State to collect taxes, and renders powerless the BIR to effectively implement enforcement mechanisms against illicit tobacco products.”

The law, signed by Duterte last Wednesday, imposes additional excise taxes on alcoholic beverages and electronic cigarettes starting January 2020.

“I am confident that the multi-tiered effect of this law as a cost-effective health measure to reduce smoking and alcohol consumption among Filipinos support the Universal Health Care Act,” the President said.

“Coupled with its positive impact in improving domestic resource mobilization, this measure will significantly reinforce and advance this administration’s commitment to provide a better quality of life for every Filipino,” he added.

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