Page 43 - Taxation (TAX 112 A & B, BA-203)

6. The approved National Budget 2020 (₱4.1 trillion) is one of the clearest expressions of the government’s values, priorities, and plans for the
country. It tells us to what extent our politicians reflect the will and interests of the people.

However, money to finance this priorities fall short. Tax revenues fall below official targets said DOF because of the liquor and cigarettes
“banned” during the quarantine period affects negatively the Sin Tax collection. The government’s collections from the value added tax, other
sales taxes and the tax on sugary drinks also take a hit low due to malls or stores close-down.

Give your analysis on all beneficial aspects of the priorities set by the President with an awareness of the following information from Department
of Finance Secretary Carlos Dominguez III; (50 points)

“…Dominguez said that the government is in “very early stages” of negotiations for project-based borrowing deals to Japan, South Korea, China
and France. The Philippine government tapped multilateral lenders World Bank and the Asian Development Bank for loans and grants. It also
secured a ₱300 billion credit line (to obtain future loan) from the Bangko Sentral ng Pilipinas through the issuance of government bonds.”

Answer:

***************************************Stay Happy, Healthy and Hot ******************************************

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