The Marcos administration said it will push the passage of the tax reform package within the year, stressing that the measures are intended to provide tax relief while ensuring that ordinary Filipinos will not bear additional tax burdens.

Presidential Communications Office (PCO) Undersecretary and Palace Press Officer Claire Castro, in a briefing on Tuesday, said the Department of Finance (DOF) is still refining the proposed Progress Bill and other tax reform measures.

Asked if the administration is targeting the passage of the measure next year, Castro said President Marcos wants it enacted this year.

Measures to affect luxury consumption

Castro also allayed concerns that the proposed tax reform package would impose additional burdens on ordinary taxpayers, saying the planned measures are being crafted to primarily affect luxury consumption.

“Other tax reforms mentioned are those that will not affect ordinary taxpayers or the middle class but those who buy luxury cars. So, those were being studied,” she said.

When asked about proposed taxes on sugary drinks, single-use plastics, and vape products, Castro said the government’s objective extends beyond revenue generation to promoting public health.

Responding to concerns that lower middle- and middle-income workers shoulder a significant tax burden without receiving direct subsidies, Castro said the administration has already rolled out programs benefiting the sector even before the proposed tax reforms are enacted.

President’s agenda

She added that the President’s agenda, outlined during his recent State of the Nation Address, includes additional measures aimed at easing the financial burden of working Filipinos, including the forgoing of systems loss concerning amendments on the EPIRA Act, and the expanded healthcare benefits and faster medical and financial assistance.