The Department of Finance (DOF) is optimistic that the government will be able to exceed its full-year revenue target by generating around P1 trillion in the final three months of the year.

Finance Secretary Benjamin E. Diokno said he expects the national government's total revenue collection for 2023 to reach around P3.8 trillion to P3.9 trillion, exceeding the P3.7 trillion goal.

To hit Diokno's forecast, the national government must raise between P963 billion and P1.062 trillion from October to December.

“The emerging total revenue collection for 2023 is seen settling between P3.8 trillion to P3.9 trillion – well above the P3.7 trillion approved Development Budget Coordination Committee (DBCC) level for the year,” Diokno said during a recent forum.

In the first nine months of the year, total revenues amounted P2.838 trillion, above the P2.756 trillion goal set by the DBCC, an inter-agency body responsible for establishing the government’s macroeconomic assumptions.

Diokno said the revenue collected at end-September is also 6.8 percent higher compared to the same period last year, with both tax and non-tax revenues continuing to grow at 6.4 percent and 10.5 percent, respectively.

Last Nov. 14, the finance chief said he was confident that the Bureau of Internal Revenue (BIR), the government’s main tax agency, would hit its collection targets for the medium-term.

Diokno cited that the BIR was able to achieve a historic level of tax collection in recent years driven by the agency’s strict nationwide enforcement operations.

In particular, Diokno noted the BIR’s fight against illicit trade of cigarettes, vape, and other excisable articles, along with its national raids and the filing of criminal cases against offenders.

The BIR is tasked to collect P2.639 trillion this year. As of September, the agency generated P1.858 trillion.

Diokno also commended the Bureau of Customs (BOC), saying the agency has made significant advancements in intensifying efforts to combat illicit trade and enhance trade facilitation and border control.

He emphasized the critical importance of curbing illicit trade, citing the protection of essential revenues and consumers from potential harm caused by unregulated products. 

With this objective in mind, the BOC has undertaken a series of measures resulting in substantial achievements, he said.

To safeguard Philippine borders from smuggled goods, the BOC executed intensified anti-smuggling operations from July to December 2022, leading to the seizure of illegal goods worth P15.65 billion. 

Among the top-valued seized commodities were illegal drugs, totaling P10.2 billion, followed by counterfeit products (P2.450 billion), agricultural products (P1.884 billion), cigarettes and tobacco (P457.763 million), and used clothing (P287.480 million).

In addition to its success in curbing illicit trade, the BOC has made significant strides in trade facilitation. 

The Marcos administration expects the BOC to raise P874 billion in 2023. From January to September, the bureau collected P660.39 billion.