Saturday, February 22, 2014

PDAF abolition affects Ifugao tax collection


By Daniel Codamon

LAGAWE, Ifugao -- Revenue collection in this province had declined significantly  since the abolition of the Priority Development Assistance Fund (PDAF) of congressmen and senators during the second semester of 2013. .

This was the observation of officer-in-charge Frumencio Belisario of the Ifugao Revenue District Officer  as they were  consolidating their year-end report and assessing their tax collection efficiency for the past year.

He said for the month of December 2013, they were able to collect only P17,170,635.51 as against their goal for the month of P39,995,000.00 or a deficiency of P22,824,364.49 or 57.07 percent  decrease.

It was also shown in their cumulative comparative collections that as of December 31, 2013, they were able to collect for the year P193,243,68.28 as against their cumulative goal  of P232,985,000.00 or a deficit of P39,741,312.72.

He said this deficit in the collection of taxes is mainly attributed to the decrease of tax collection from the Tax Remittance Advisory (TRA) paid by contractors derived mostly from projects funded and implemented under the PDAF.

Very few projects have been implemented in the province after the abolition of the PDAF, he said.

This shows that the revenue source of Ifugao is greatly dependent on the PDAF projects aside from its share from the Internal Revenue Allotment of the national government.

Compounding the problem of tax collection sources is the non-cooperation of taxpayers, mostly from the private sector,  in paying their correct income taxes, the lack of vigilance of consumers or buyers in demanding receipts for the goods they purchase from business establishments as a basis for the payment of their correct taxes and the few investments and operation of business enterprises in the province,  Belisario said.


He urged consumers to always demand receipts whenever they buy something reminding them of the benefits of getting receipts such as their help in the collection of greater taxes for the public fund, and make tax evaders comply with their obligations. They  can  also  have a chance to win prizes in the monthly raffle conducted by the Bureau of Internal Revenue.

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