2 months ‘Higher alcohol tax to reduce demand, revenues’ ‘Higher alcohol tax to reduce demand, revenues’
ALTHOUGH it welcomes the new tax structure for distilled spirits proposed under House Bill (HB) 1026, the Distilled Spirits Association of the Philippines (DSAP) warned the government that too many tax increases might lead to reduced state revenues. In a position paper submitted to the Senate Ways and Means Committee, DSAP President Olivia Limpe-Aw said industry data and analysis showed that higher tax increases could lead to lower demand. “Between 2017 and 2018, the price of alcoholic beverages and tobacco products have increased by 20 percent while no other major household expenditure had increased by 7 percent. The effects of ... more