Total gov't revenues projected to reach P5.5 trillion in 2028 —DOF

The government is projected to gain P5.5 trillion in total revenues by the end of the Marcos administration as tax collections are expected to grow by 9% annually until 2028, the Department of Finance (DOF) said on Monday.

"With tax collections projected to grow by an average of 9% annually from 2026 to 2028, total revenues is targeted to reach P5.5 trillion by the end of the President's term. By 2030, we expect total revenues to exceed P6 trillion. This means our revenue agencies will have to raise the bar even further," said Finance Secretary Frederick Go during the briefing of the Development Budget Coordination Committee (DBCC) at the House of Representatives.

With the projection, the DOF said the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) are expected to beef up its collecting efforts.

"The BIR and BOC will need to continue improving efficiency, strengthening compliance, and leveraging technology to sustain faster growth in collections. Coupled with stronger collection efforts, we are looking to pursue reforms that will make our revenue system more efficient, equitable, and sustainable," said Go.

In his fifth State of the Nation Address, President Ferdinand "Bongbong" Marcos Jr. called on lawmakers to raise the exemption ceiling for personal income tax to include those earning P350,000 yearly, from the current P250,000.

The President also proposed to exempt micro and small businesses from paying the minimum corporate income tax (MCIT), equivalent to 2% of gross income of a corporation for a period of 12 months.

Further, the DOF said the bills such as the proposed Multinational Minimum Tax Bill and the General Tax Amnesty Bill could help materialize the projected revenue figures.

"We likewise expect more revenues from the proposed Multinational Minimum Tax Bill, which will preserve our taxing rights and ensure that taxes arising from economic activity in the Philippines are collected here. And the General Tax Amnesty Bill, mentioned by the President in his SONA, to encourage the settlement of outstanding tax obligations, improved compliance, and bring more taxpayers into the formal tax system," said Go.

The General Tax Amnesty Bill remains pending at Senate and House committee level.

Meanwhile, the DOF and the BIR have officially begun drafting legislation to implement the Global Minimum Tax (GMT), a move aimed at protecting the country's tax revenues from being shifted to foreign jurisdictions.

From January to July 2026, the BIR collected a total of P2.003 trillion, surpassing the target of ₱1.990 trillion for the period by P13.53 billion or 0.68%. — BM, GMA News