By: Elena Grace Flores
[VIDEO]: Marcos Jr nixes suspension of fuel excise tax, to explore other options
Gasoline Excise Tax
Excise Tax is a tax on the production, sale or consumption of a commodity in a country. External factors affect the prices of gasoline in the country. It is now almost 100 Pesos per liter. It was suggested earlier to suspend its excise tax first temporarily. But this seems to have a negative effect on the economy.
President-elect Ferdinand “Bongbong” Marcos said recently that there are other ways to address the rising cost of gasoline instead of just suspending the excise tax it. The effect on the economy needs to be balanced wit the loss of government revenue from such action. This is one of the priorities of his economic team to study deeply other alternatives.
Priorities Prior to Inauguration
As the prices of commodities go up quickly, the Marcos administration needs to address the problem with gasoline rates immediately after inauguration. So, the work already starts earlier. That’s why PBBM knew that they need to prioritize the situation in areas away from the capital.