No fuel tax means less gov’t projects — Diokno
It all comes with a cost.
Economic managers of President Rodrigo Duterte have finally acknowledged the need to temper prices by holding off a new round of increase for fuel excise tax by 2019, at a time of super high inflation.
But Budget Secretary Benjamin Diokno said it’s not all good, as the P41 billion taxes which will not be collected would mean the government has less to spend for public programs.
This could mean cutting budgets for non-priority items.
“There will be a seniority in expenditures. Definitely the most senior will be the infrastructure projects. So maybe they will be exempt,” Diokno said, noting that the Cabinet will put an inter-agency task force to review projects in the 2019 budget which can be postponed or cut.