Marcos suspends excise tax on LPG, kerosene for 3 months

MANILA, Philippines -- President Ferdinand Marcos Jr. ordered the suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene for three months to provide relief to Filipino families amid the current energy emergency driven by the war in the Middle East. The President, through Executive  Secretary Ralph Recto, issued Executive Order (EO) 114  on April 16. Under the EO, the suspension shall last for three months and will be subject to monthly review by the Development Budget Coordination Committee (DBCC). "The excise taxes on LPG, except when used as raw material for production of petrochemical products or used for motive power, and kerosene, except when used as aviation fuel, are hereby fully suspended for a period of three months from effectivity of this Order," EO 114 read. The excise tax shall automatically revert without the need for further issuance upon the occurrence of any of the following, whichever comes first: one week after the one-month average Dubai crude oil price falls below $80 per barrel or upon the expiration of the three-month suspension. “The DOE and the Department of Finance (DOF), through the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC), are directed to conduct an inventory of existing stocks of LPG and kerosene as of the effectivity of this Order,"  EO 114 also read. "The BIR and the BOC shall likewise submit to Congress monthly information on the declared value and volume of petroleum products covered by this Order,” it added.

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